Moving Insurance

When relocating internationally, your household goods pass through multiple carriers, ports, warehouses, and modes of transport. Because your shipment is not under the control of a single entity for the entire journey, standard mover liability is extremely limited.

For this reason, we strongly recommend purchasing Transit Insurance to protect your belongings against loss or damage while in transit.

Important: Transit insurance is optional, but without it, your shipment is not insured for damage and has only minimal carrier liability coverage. Full terms and conditions are defined by the insurance provider and outlined in the Transit Insurance Application sent to clients prior to packing.

Orbit works with licensed international insurance underwriters that specialize in household goods and relocation risk.

Transit insurance (sometimes referred to as Moving Insurance) is a marine cargo insurance policy that covers household goods while they are being transported internationally by land, sea, or air.

Moving companies do not act as insurers. Instead, coverage is placed through a licensed third-party underwriter and is governed by international marine insurance law and the policy certificate issued for your shipment.

Most moving companies limit their liability to $0.10–$0.60 per pound, regardless of an item’s actual value.

Example:
If a 5 lb laptop worth $1,500 is damaged, carrier liability would be:
5 lbs × $0.60 = $3.00

Transit insurance exists to bridge this gap by providing replacement or repair coverage, subject to the policy terms.

• Covers the shipment only if it is completely lost or destroyed
• No coverage for partial damage or missing items
• Declared value applies to the shipment as a whole
• Typically lower cost, but very limited protection

This option is generally not recommended for household goods of meaningful value.

• Covers physical loss or damage from external causes
• Includes both partial damage and total loss
• Requires a completed Valued Inventory
• Deductible applies per claim
• Packed by Owner (PBO) boxes have limited coverage

All Risk coverage is the most comprehensive option and is recommended for clients seeking full financial protection.

A Valued Inventory is a detailed list of your household goods and their replacement value at destination.

Items not declared and valued are not insured.
To ensure coverage is in place, the Valued Inventory must be completed and returned before packing begins. Coverage cannot be applied retroactively.

How to Value Your Items Correctly

• Use replacement cost at destination, not current or depreciated value
• Consider price differences between countries
• High-value items must be individually listed and described
• Items of unusual or unique value may require additional documentation

Your shipment should be insured for its full replacement value.

If your shipment is underinsured, the policy is subject to a coinsurance clause, meaning you may only recover a proportional amount of any claim.

Example:
If a $100,000 shipment is insured for $50,000 and a $1,000 item is damaged, the maximum settlement would be $500.

• Items valued above certain thresholds must be professionally appraised or supported by receipts
• Artwork, antiques, and collectibles must be declared, described, and approved in advance
• Undeclared high-value items may be excluded or capped in settlement

Always discuss special items with your moving coordinator before packing day.

Automobiles, motorcycles, and certain boats can be insured under transit insurance, but they must be specifically declared and approved in advance.

Key points to know:

• Vehicles must be listed separately from household goods
• Coverage is based on the actual cash value or replacement value at destination, as defined in the policy
• Origin and destination condition reports are required
• Non-factory installed accessories (such as aftermarket stereos, GPS units, or custom modifications) must be declared and valued separately to be considered for coverage

Important limitations:

• Vehicles must be shipped empty and must not be used as storage containers
• Mechanical or electrical issues are not covered
• Normal wear, aging, or cosmetic issues may be excluded depending on vehicle age and condition
• Coverage does not apply while a vehicle is being driven under its own power, except for loading and unloading

Because vehicle insurance requirements and limitations are different from those for household goods, it’s important to review vehicle coverage details with your moving coordinator before shipment.
This helps ensure the right documentation is in place, expectations are clear, and the vehicle can be legally imported and used at your destination.

Items packed by the owner are not covered for damage, unless loss is caused by a catastrophic event (such as fire, sinking, or vehicle collision).

To improve coverage eligibility:

• Leave owner packed boxes open for inspection
• Allow professional repacking when recommended
• Additional charges may apply depending on your service agreement

Transit insurance includes up to 180 days of storage when goods are stored in an approved commercial warehouse operated by the mover or their agent.

Storage beyond this period requires a storage extension (rider) and additional premium. Self-storage facilities are not covered.

In the event of loss or damage:

• Claims must be reported in writing within 45 days of delivery
• Supporting documentation is required (photos, repair or replacement estimates)
• Do not discard or repair items without written authorization
• The insurer may appoint an adjuster to assess damages

Claims are handled directly by the insurance administrator, not the moving company.

• Transit insurance does not cover wear and tear, mold, rust, mechanical failure, or sentimental value
• Certain items (jewelry, cash, documents, data, unlisted goods) are excluded
• Government actions, customs delays, and consequential losses are not covered
• If insurance is declined, the shipper may still be subject to General Average under maritime law

Transit insurance isn’t about assuming something will go wrong, it’s about having clarity and financial protection in place just in case the unexpected happens during an international move.

Your moving coordinator at Orbit is here to walk you through the details, answer questions in plain language, and help you understand coverage options, deductibles, inventory requirements, and exclusions. That way, you can choose the level of protection that best fits your shipment, your destination, and your peace of mind.