Your moving company just asked you to choose between “released value protection” and “full value protection.” One’s free, the other costs extra. The difference seems important, but the explanations sound like legal jargon.
Here’s what you actually need to know: moving insurance coverage isn’t really insurance at all—it’s liability protection offered by your mover. And the free option covers almost nothing. That 55-inch TV that cost $1,200? Under basic coverage, you’d get about $15 if it breaks.
Let’s break down what these options actually mean, when each makes sense, and how to protect your belongings without overpaying.
What Moving Insurance Coverage Actually Means
First, a critical distinction. What moving companies offer isn’t technically insurance—it’s called “valuation coverage.” Moving companies aren’t authorized to sell insurance themselves, so they offer liability protection instead.
Real insurance comes from third-party insurance companies. Valuation coverage is regulated by federal law for interstate moves and determines how much your moving company will pay if they damage or lose your belongings.
This matters because valuation coverage has different rules, limitations, and costs than actual insurance. You’re dealing with federal transportation regulations, not insurance policies.
Released Value Protection: The Free Option
Released value protection is offered by movers at no additional charge, but the protection is minimal—the mover is responsible for no more than 60 cents per pound per article.
Let’s see what this means in real terms. Your dining room table weighs 80 pounds and cost $2,000. It gets scratched during the move. Under released value protection, you’d receive $48 (80 pounds × $0.60). That barely covers takeout, let alone furniture repair.
If your mover lost or damaged a 50-inch TV weighing 25 pounds, you would only receive $15. The TV cost $1,200, but weight—not value—determines compensation.
This is why released value is free. Moving companies know their actual liability is so low that claims cost them almost nothing.
When Released Value Makes Sense:
You’re moving inexpensive, easily replaceable items. You’re transporting valuable items separately in your own vehicle. You’re purchasing third-party insurance to supplement coverage. You have extremely tight budget constraints and accept the risk.
For most people moving an entire household, released value protection offers false security. It technically covers you, but practically speaking, it won’t replace your belongings.
Full Value Protection: Comprehensive Coverage
Full value protection costs extra, but it provides real coverage. Under full value protection, an item is covered at its full value up to the value of your entire shipment, not just the weight of that specific item.
If your moving company damages or loses items under full value protection, they must do one of three things: repair the item, replace it with a comparable item, or provide a cash settlement for its current market value.
Full-value protection will cost between 1-2% of the overall value of your property. So if your shipment is valued at $30,000, you’d pay $300-$600 for full value protection.
That sounds expensive until you consider what it actually protects. One damaged piece of furniture could cost more than your entire protection premium.
How Full Value Protection Works:
You declare the total value of your shipment before moving day. The moving company charges a fee based on that declared value (typically 1-2%). Your belongings are protected at their actual value during the move. If something breaks, the mover repairs, replaces, or reimburses at current market value.
Important Limitations to Know:
Anything worth over $100 per pound (like jewelry, antiques, fine art, or electronics) must be listed separately on your shipping documents. Without declaring these high-value items, movers can limit liability to $100 per pound even under full value protection.
That iPad Pro weighing 1.5 pounds but worth $1,099? List it specifically, or you’ll only receive $150 if it’s damaged.
Full value protection typically includes a deductible—often $250-$500. You pay that amount, and the mover covers the rest. The deductible keeps costs reasonable for everyone while still providing meaningful protection.
Third-Party Insurance: When You Need More
Sometimes even full value protection isn’t enough. That’s where actual insurance comes in.
Third-party moving insurance supplements your mover’s liability coverage. Third-party insurance typically covers damage that mover coverage excludes, including natural disasters, mechanical and electrical accidents, mold and mildew, moths and insects, and temporary storage situations.
You might need third-party insurance if you’re moving valuable collections (art, jewelry, antiques), you own items worth more than $100 per pound, you need coverage for natural disasters or unusual damage, or you’re storing items during your move.
The catch is cost. Third-party insurance will generally cost about $1.25 per pound, making it significantly more expensive than full value protection from your mover.
Before purchasing third-party insurance, check your homeowners or renters insurance. Some policies extend partial coverage to items in transit, though usually not during loading and unloading. It’s worth a phone call to your insurance agent.
The Claims Process: What Actually Happens
You’ve chosen your coverage. Now your TV arrives with a cracked screen. What happens next?
You have nine months from your moving delivery date to file your claim, but it’s best to do it as soon as possible. Here’s the process:
- Document everything at delivery. Note all damage on the delivery paperwork before the movers leave. Take photos of damaged items and boxes. Don’t throw away damaged packaging—movers inspect this to verify claims.
- Contact your moving company immediately. Call your move coordinator or customer service. Request the claims form or ask about their online claims process. Provide detailed descriptions and photos.
- Don’t touch damaged items. Leave everything in the condition it was delivered. If you handle anything after noticing an issue, the moving company has no way of knowing the extent of their damage versus your own.
- Complete the claims process. The moving company legally has thirty days to acknowledge your claim and 120 days to resolve it. A claims adjuster may visit to inspect damage. Based on their findings and your coverage level, they’ll offer repair, replacement, or cash settlement.
Critical mistakes that void claims:
Self-packing items then claiming damage (unless the box itself shows damage). Failing to list high-value items on shipping documents. Missing filing deadlines. Signing delivery receipts that release the mover from liability. Not documenting damage at time of delivery.
Making the Right Choice for Your Move
So which coverage should you choose?
For most household moves with typical furniture and belongings, full value protection makes sense. The cost—typically 1-2% of shipment value—is reasonable insurance against damage that would cost far more to replace.
Released value protection only works if you’re moving very little, moving only inexpensive items, or transporting valuables separately yourself.
Third-party insurance becomes worth it when you’re moving high-value collections, need coverage beyond what movers offer, or want protection for storage and unusual damage scenarios.
Questions to ask your moving company:
What’s the cost for full value protection based on my shipment value? What’s the deductible? How do I declare high-value items worth over $100 per pound? What’s excluded from coverage? What’s your claims process and typical resolution time?
Don’t wait until moving day to understand your coverage options. Review them when you’re getting quotes, read your contract carefully, and ask questions about anything unclear.
The cheapest option isn’t always the smartest one. That free released value protection might save you $300 upfront, but cost you thousands if something goes wrong.
Professional Moving with Real Protection
You’re trusting a moving company with everything you own. You should work with professionals who explain coverage options clearly, handle your belongings carefully, and stand behind their work.
Don Farr Moving and Storage has been helping Pittsburgh families and businesses move safely since 1981. We walk you through valuation options so you understand exactly what you’re choosing. Our experienced crews treat your belongings with the care they deserve, and our straightforward claims process resolves issues quickly when they arise.
Whether you’re moving across Pittsburgh or across the country, we’ll help you choose the right protection level for your situation—no pressure, no confusion, just honest guidance.
Get a quote for your move and let’s talk about protecting your belongings the right way.
