Detailed Insurance Coverage, Liability & Coverage Options

1. Overview of Our Insurance Options

When you book our services, you have the choice between two basic types of cargo liability coverage. You must choose one of these options by initialing next to your selection in the Insurance Coverage Selection section of your booking confirmation. In addition, you are welcome to obtain third‑party insurance for extra protection if you wish.

2. Released Value Protection (RVP)

2.1 What Is It?

• Basic Coverage: RVP is our default, no‑extra‑cost option. Under RVP, our liability is limited to the lesser of:
  • (a) A value equal to 60 cents per pound for each lost or damaged item, or
  • (b) The actual current value of the lost or damaged item after accounting for depreciation due to age and wear.

2.2 How It Works

• Calculation Example: For instance, if an item weighs 100 pounds:
  • At 60 cents per pound, the maximum payout would be $60.
  • If the depreciated (current) value of the item is greater than $60, the payout is capped at $60.
  • If the depreciated value is less than $60, you would receive that lower amount.
• Depreciation: The depreciated value is calculated by subtracting the accumulated depreciation (based on the item’s age and expected lifespan) from the original purchase price.

2.3 Key Points

• No Extra Cost: This is the default coverage provided at no additional charge.
• Limited Coverage: RVP typically covers only the basic replacement cost based on weight or depreciation, which might be significantly lower than the replacement cost for high‑value items.

3. Full Value Protection (FVP)

3.1 What Is It?

• Enhanced Coverage: FVP provides a more comprehensive level of protection by covering the full replacement cost of your entire shipment, up to the declared value of each lost or damaged item.
• Declaration Requirement: To select this option, you must declare the total value of your shipment. A deductible, which is the amount you pay before coverage applies, is set by the declared value: $250 per claim for declared values up to $5,000 and $500 per claim for declared values above $5,000.

3.2 How It Works

• Replacement Cost: With FVP, if an item is lost or damaged, you are entitled to the replacement cost of that item without the limitations imposed by depreciation.
• Proportional Liability: If you declare a total shipment value that is less than the actual replacement cost of all items, our liability for each item will be reduced proportionally. In other words, if the declared value is lower than the true value, the payout for each item will be adjusted based on its share of the total declared value.

3.3 Key Points

• Full Value Coverage: This option is ideal for those who have high‑value items or want coverage that more closely matches the cost of replacing your belongings.
• Additional Cost: FVP is available for an additional fee, priced by declared value: $75 up to $2,500, $150 up to $5,000, $300 up to $10,000, and $600 up to $20,000 (about 3%). The maximum declared value is $20,000; higher values require third-party insurance. It requires advance selection (at least 72 hours before the move) and the submission of a detailed inventory and declared value for your shipment.
• Clients selecting Full Value Protection (FVP) must submit time-stamped pre-service photographs of valuable items and service areas at least 72 hours before the scheduled move. Failure to provide this documentation may impact eligibility for compensation under FVP.
• Deductibles: The deductible is set by the declared-value tier ($250 up to $5,000; $500 above $5,000) and is the first portion of any claim that you pay.

4. Third‑Party Insurance (Optional)

• Supplemental Protection: In addition to our two core coverage options, we recommend that clients consider purchasing third‑party insurance for high‑value or fragile items.
• Why Consider It: Third‑party policies can provide more comprehensive coverage and might cover items or situations that our basic liability does not.
• Your Responsibility: If you choose to obtain third‑party insurance, please provide us with the details or a copy of the certificate of insurance (COI) prior to your move.

5. How to Select Your Coverage

When reviewing your booking confirmation, you will see a section titled Insurance Coverage Selection. Please indicate your choice and initial the appropriate boxes.

Please note: You must choose one of these options in order to proceed with your booking. If you have any questions about these options or need further assistance in determining which is best for you, please contact our customer service team.

6. Additional Notes on Liability and Coverage

• Exclusions:
  • Items such as perishables, live plants, and pets may not be fully covered, and boxes packed by the Client are covered only when the box shows outside damage from our crew’s handling, and then at Released Value Protection, 60 cents per pound.
  • Items of extraordinary value (commonly defined as items valued at $100 per pound or more) should be insured separately.
• Limitations of Liability:
  • Under RVP, our maximum liability is limited to the amount calculated (60¢ per pound or depreciated value).
  • Under FVP, our liability is capped at the declared full replacement cost for each item, subject to proportional adjustments if the declared total value is less than the actual cost of replacement.
• Claims:
  • Clients are required to retain possession of any damaged items until the claims review process is fully completed. Disposal of the item before resolution may affect eligibility for compensation.
  • In the event of loss or damage, please follow the claims process outlined in Appendix E to receive compensation based on the selected coverage.