Does my homeowners insurance cover costs of moving?
While you may be well aware of all the details of your homeowners insurance that pertain to your coverage at your current residence, but what about the transition between homes? Will your items be protected, or will you be required to seek coverage from your moving company? You may even experience a significant change in your policy premium due to change of residency. If you are moving, you may very well have all of these significant questions on your mind, and reasonably so. While you will have to contact your insurer to understand exactly how you will be covered, why not learn of possible outcomes right now? If you find yourself wondering “Does my homeowners insurance cover costs of moving?“, continue reading below to learn more!
- Are you covered?
Generally speaking, homeowners insurance will cover your personal possessions when moving, but only if your belongings have suffered a peril that is listed on your policy, such as theft or fire. So the answer is therefore, not necessarily. Contact your insurer to learn exactly what your insurance will cover while your belongings are being moved from point A to point B. You may learn that you will need separate coverage for your move, potentially through your moving company.
- What is your deductible during a move?
First things first, for those who don’t know, a deductible is the amount you’ll pay before your insurance coverage kicks in. Now that we got that out of the way, find out what is your deductible in the case you need to file a claim? For instance, if you have a $1,000 deductible, and $3,000 worth of stuff that was stolen during a move, you’ll typically be reimbursed the difference of $2,000.
- What are your limits?
Whether you are moving or not, it is imperative you understand what is covered by your homeowners insurance policy. There may be different standard limits depending on the specific property. For instance, some policies will have maximum coverage on high value possessions such as jewelry. Be aware that the maximum coverage may decrease when such items are away from your home. Speak to your agent to learn more.
- Theft vs. moving breakage
While your insurance policy may cover theft that occurs during a move, it is unlikely that common moving damages will be covered. Damages such as scratches, or an item that has been broken inside a box. While your homeowners insurance will not cover these damages, your moving company should be able to provide insurance coverage that is either included in the moving costs, or you will be required to pay extra.
- Will your premium change with the move?
You may experience a significant change in your policy premium depending on where you are moving. If you are moving cross-country, you will most certainly see a change. No matter the circumstances, you are advised to contact your insurer as soon as you learn you are moving to update your policy, and learn of any changes as a result. They will be able to answer all of the important questions you may have pertaining to possible changes to your policy.