International Moving Insurance: Protecting Your Belongings the Right Way
Important Disclaimer: Insurance coverage terms, costs, exclusions, and claims processes described in this article are general as of early 2025 and vary significantly by insurance provider, moving company, and policy. Released value and full value protection terms vary by carrier. Always read actual policy documents carefully before purchasing coverage. Coverage costs are estimates only - actual rates depend on declared value, destination, and other factors. This article provides general information about moving insurance concepts, not specific policy details. Review actual policies and consult with insurance professionals for coverage specific to your needs.
When Jennifer’s container arrived in Melbourne three months after leaving Boston, she opened box after box of damaged items. Her television had a cracked screen. Several dishes were shattered. A antique wooden chair her grandmother gave her had a broken leg. The damage total easily exceeded $3,000.
She’d paid her moving company $8,500 for the move and assumed her belongings were fully insured. She was wrong. The moving company’s basic liability coverage paid her $0.60 per pound for damaged items. For her 60-pound television, she received $36. For her grandmother’s chair, she got about $18.
Jennifer learned an expensive lesson: basic liability coverage is nearly worthless, and most people don’t understand moving insurance until it’s too late.
Understanding Released Value vs Full Value Protection
Moving companies must offer two types of coverage by law. The difference between them is enormous.
Released Value Liability (Basic Coverage)
This is the free default coverage included with your move. It provides minimal protection based on weight, not actual value.
The standard rate is $0.60 per pound per item. Notice it’s per item, not per shipment. A 50-pound damaged item nets you $30 in compensation regardless of whether it cost $50 or $5,000.
Let’s look at real examples:
50-inch TV weighing 45 lbs, valued at $600: Released value coverage pays $27 MacBook laptop weighing 4 lbs, valued at $1,800: Released value coverage pays $2.40 Antique dresser weighing 150 lbs, valued at $2,500: Released value coverage pays $90
Notice the pattern? Items get heavier as they get more expensive, but weight-based compensation barely correlates with actual value. Electronics, jewelry, artwork, and other valuable items are worth exponentially more than $0.60 per pound.
Released value coverage is essentially no coverage. It exists because federal law requires carriers to offer basic liability, but it provides almost no meaningful protection.
Full Value Protection
Full value protection is actual insurance covering the replacement value or repair cost of your items.
Under full value protection, the moving company is liable for replacing damaged items, repairing them, or providing cash settlements equal to current replacement cost.
That same damaged $600 TV? Full value protection covers $600. The $1,800 laptop? Covered for $1,800. The $2,500 dresser? Covered for $2,500.
Full value protection costs extra—typically 1-3% of the declared value of your shipment. If you declare your belongings are worth $50,000, full value protection costs $500-1,500.
Is it worth it? Absolutely. For $750, you protect $50,000 worth of belongings. That’s cheap insurance for peace of mind during an international move where damage risk is higher than local moves.
How Full Value Protection Actually Works
Understanding the mechanics helps you use the coverage effectively.
Declared Value
You declare the total value of your shipment. This is the maximum the insurance will pay for all claims combined.
Don’t undervalue to save on insurance premiums. If you declare $30,000 but your actual belongings are worth $50,000, you’re only insured for $30,000. A catastrophic loss leaves you $20,000 short.
Don’t wildly overvalue either. The moving company isn’t required to pay more than actual replacement value even if you declared higher. Inflating declared value just means paying higher premiums unnecessarily.
Be honest and realistic. Used household goods aren’t worth retail prices. A three-year-old couch worth $1,200 new is probably worth $600-700 now. Declare used values based on actual current worth.
What’s Covered
Full value protection covers damage or loss that occurs while items are in the moving company’s possession.
This includes:
- Damage during packing
- Damage during loading or unloading
- Damage during transport (truck, container ship, etc.)
- Loss if items disappear
- Water damage if the container leaks
- Most types of accidental damage
What’s NOT Covered
Even full value protection has exclusions.
Inherent vice: Damage that occurs due to the nature of the item itself isn’t covered. If your wooden furniture cracks because it was stored in extremely dry conditions and wood naturally shrinks, that’s inherent vice.
Pre-existing damage: Items already damaged before the move aren’t covered. This is why taking photos before the move is smart.
Improper packing: If you packed items yourself and they broke due to inadequate packing, coverage might be denied. This is one reason to let professional movers pack everything.
Acts of God: Hurricanes, earthquakes, and truly unforeseeable natural disasters might not be covered or might have separate provisions.
War and civil unrest: If your container is caught in a war zone or civil conflict, coverage might not apply.
High-value items without special declaration: Some policies require separately declaring items worth over a certain amount ($5,000 or $10,000 commonly). Your $15,000 engagement ring needs special documentation.
Consumables and perishables: Food, plants, and similar items that can spoil aren’t typically covered.
Deductibles
Many full value protection policies include deductibles—the amount you pay out of pocket before insurance kicks in.
Common deductibles range from $250-1,000. If you have a $500 deductible and file a claim for $2,000 in damage, you receive $1,500.
Higher deductibles lower your insurance premium. Lower deductibles cost more but mean you receive more from claims.
Choose a deductible you can afford. Don’t take a $2,000 deductible to save $100 on premiums if you couldn’t afford to pay $2,000 out of pocket for a claim.
Special Items Requiring Extra Protection
Certain high-value or fragile items need special consideration.
Artwork and Antiques
Fine art, antiques, and collectibles might need professional appraisal and documentation. The moving company might require proof of value before accepting full liability.
Consider specialized fine art moving services for extremely valuable pieces. Regular household goods movers might not have expertise in handling museum-quality items.
Electronics
Modern electronics are expensive. Computers, TVs, audio equipment, gaming consoles—these add up fast.
Original boxes provide the best protection. If you still have them, use them for packing high-value electronics.
Take photos showing items work before packing. If you claim a TV arrived broken, proof it worked before the move strengthens your claim.
Jewelry and Cash
Most moving insurance specifically excludes or strictly limits coverage for jewelry, cash, precious metals, and similar high-value portable items.
Don’t pack jewelry, important documents, or cash in your moving shipment. Carry these with you in luggage or ship via registered mail/courier.
If you must ship valuable jewelry, declare it separately and ask about riders or special coverage.
Vehicles
If you’re shipping a car or motorcycle separately, that typically requires separate vehicle shipping insurance, not household goods insurance.
Vehicle shipping insurance is specific to auto transport and covers the vehicle’s value. Don’t assume your household goods insurance covers your car.
The Claims Process
Understanding how to file claims helps you get fair settlements.
Document Everything Before the Move
Take photos and videos of your belongings before packing. Focus on valuable items, showing their condition clearly.
Create your own inventory list with descriptions and values. The moving company creates an inventory, but having your own ensures nothing gets missed.
Inspect Upon Delivery
When your container arrives and items are delivered, inspect everything carefully before signing delivery documents.
The delivery receipt you sign typically includes language stating items arrived in good condition. If you sign without inspecting and later discover damage, you might have difficulty filing claims.
Note all visible damage on the delivery receipt immediately. Write “damaged” or “items to be inspected” before signing if you can’t thoroughly inspect everything that day.
File Claims Promptly
Time limits exist for filing claims. International moves typically allow 75 days for noting damage visible upon delivery and 9 months for concealed damage discovered later.
Don’t wait. File claims as soon as you discover damage.
Provide Thorough Documentation
Claims require evidence:
- Photos of damaged items
- Original purchase receipts or estimates of replacement value
- The inventory sheet showing the item was part of your shipment
- Description of what happened
The more documentation you provide, the smoother claims processing goes.
Negotiation and Settlement
The moving company or insurer will offer a settlement. This might be full replacement cost, repair cost, or a cash settlement for current value.
You don’t have to accept the first offer. If you think it’s inadequate, negotiate. Provide additional evidence of value or replacement cost.
For items with sentimental value beyond monetary worth, understand that insurance covers monetary loss. Your grandmother’s chair might be priceless to you, but insurance compensates for market value.
Third-Party Insurance vs Carrier Insurance
You have options beyond the moving company’s insurance.
Third-Party Moving Insurance
Specialized moving insurance companies offer policies independent of your moving company. These companies only do moving insurance and handle claims professionally.
Advantages:
- Sometimes cover items the moving company won’t
- Might have fewer exclusions
- Claims process handled by insurance professionals, not moving companies
- Can provide higher coverage limits
Disadvantages:
- Cost more than carrier-provided full value protection
- Require separate application and payment
- Another party to coordinate with
Popular third-party insurers include companies specializing in international moving insurance.
Homeowners or Renters Insurance
Your existing homeowners or renters policy might cover items during moves, but typically only provides very limited coverage for international moves.
Check your policy. Many provide minimal or zero coverage for items outside the US or in commercial carrier possession.
Don’t rely on homeowners insurance for international moves unless you’ve confirmed with your insurance company that you have adequate coverage.
Cost Factors for Moving Insurance
What determines insurance costs?
Declared Value
Higher declared values mean higher premiums. Insuring $100,000 costs more than insuring $25,000.
Distance and Destination
Longer distances and riskier destinations increase premiums. Shipping to stable countries with good ports costs less than shipping to countries with problematic infrastructure or political instability.
Packing Method
Professional packing usually means lower insurance costs because expert packing reduces damage risk. Self-packed items might increase premiums or have limited coverage.
Deductible Level
Higher deductibles reduce premiums. Choosing a $1,000 deductible instead of $250 might save $200-400 on insurance.
Making Smart Insurance Decisions
Follow these strategies to protect your belongings properly without overpaying.
Always Get Full Value Protection
Released value coverage is worthless. Always purchase full value protection for international moves.
Declare Honest Value
Don’t undervalue to save money. Insure for realistic current value of your used belongings.
Consider Self-Packing Risks
Having professionals pack everything ensures better coverage and reduces damage risk. The extra cost is usually worth it.
Read the Policy
Don’t sign without reading the insurance documentation. Understand coverage limits, exclusions, and deductibles.
Ask Questions
If you don’t understand coverage, ask the moving company to explain. Better to clarify before problems arise than dispute coverage after damage occurs.
Special Items Need Special Handling
For extremely valuable items, consider specialized coverage or alternative shipping methods.
When Things Go Wrong
Despite insurance, disputes happen. Claims get denied or undervalued.
If you’re unsatisfied with claims resolution:
Request supervisory review. Ask to speak with claims managers or supervisors.
Provide additional documentation. More evidence strengthens your position.
Cite regulations. Federal and state regulations govern moving companies. Understanding your rights helps.
Consider mediation or arbitration. Many policies include dispute resolution provisions.
Legal action is a last resort. For significant claims that can’t be resolved, consulting an attorney specializing in moving disputes might be necessary.
Protecting Your Move
International moves are stressful enough without worrying about whether your belongings are properly insured. Taking time to understand insurance options and investing in proper coverage provides peace of mind.
When you’re ready to move internationally, work with companies that clearly explain insurance options and help you understand what coverage you need.
Get Your International Moving Quote with Insurance Info
Frequently Asked Questions
Is insurance required for international moves?
Moving companies must offer at least released value coverage by law, but full value protection is optional (though highly recommended). You’re not legally required to purchase insurance, but moving without proper coverage is financially risky.
How much does full value protection typically cost?
Typically 1-3% of declared value. For a $50,000 shipment, expect $500-1,500 in insurance premiums depending on destination, distance, and deductible.
Can I insure items I’m moving myself in my car?
No. Moving insurance covers items in the moving company’s possession. Items you transport yourself aren’t covered by moving insurance. Check if your auto insurance or personal property insurance covers items you transport.
What if the moving company loses an entire container?
Full value protection covers total loss up to your declared value. You’d file a claim for the entire shipment and receive settlement for the declared value (minus deductible). This is why declaring adequate value is crucial.
How long do I have to file a claim?
Typically 75 days for damage noted upon delivery and 9 months for concealed damage discovered later. Time limits vary by carrier and policy. File claims as soon as possible rather than waiting.
Does insurance cover storage?
If your shipment includes time in storage during the moving process, insurance typically continues covering items while in the moving company’s storage. Long-term storage might require separate storage insurance. Clarify storage coverage with your moving company.
