Insuring your PERSONAL BELONGINGS for shipping

When you want to ship your prize treasures from shore to shore it pays to cover all eventualities.

Consider the experience of anyone whose boxes sink, or are dropped into a harbour. They may happily be expecting full compensation. But if the boxes are recovered and their contents returned to the owners, even if they are damaged beyond repair and the owners only have cover for loss at sea, they may be in for a shock. Since, technically their possessions were not lost, their claims are at risk. If, however they had included insurance against sea water damage and not just loss at sea, they would be laughing. Whatever the expenses involved in shipping your property, never cut on insurance.

Marine cargo insurance covers physical damage to, or loss of your goods whilst in transit by land, sea and air. No matter what you have to move, an important part of getting it overseas is getting the proper insurance.

To do this, consider the journey all the items will take, from door to door – on the road to the port, through customs, loading and sailing on a vessel, to arrival, unloading, customs, possible storage, and its journey to the final destination. Even if you are moving overseas for work and your employer is taking care of your relocation overseas expenses not all policies are the same. You need to have sufficient knowledge about marine cargo insurance so you can choose the most adequate insurance plan for yourself and your family. You can do this through your international moving company, from an insurance company, or a marine insurance broker.

ASK YOURSELF:

• Does the company offer a door to door policy, and an “all risk” policy insuring your shipment for its full replacement value at destination?

• What kind of coverage is offered if you pack your own goods instead of packing them professionally?

• Which laws will apply to the moving insurance policy; those of the destination country, home country, or international law?

• What are the policy exclusions and clauses stating that you are not covered by the insurance policy or that you will not be paid out in certain circumstances?

• Can you add to the insurance policy clauses and conditions to extend the standard coverage? What deductions are applied in the event of a claim?

• What are the procedures and deadlines when submitting a claim?

• Read and reread the fine print on your policy with a magnifying glass – twice.

WHAT TYPE OF INSURANCE SHOULD YOU CHOSE?

International moving companies offer different types and degrees of protection, so you need to be sure to have a thorough discussion about the coverage available and what each type provides. Be sure to consider the difference between insurance for air shipments versus ocean shipments, especially if you will be needing both air and sea transport for the same cargoes.

Below are some of the types of coverage many companies offer. You could also contact a third party provider to give you more detailed options:

• Legal liability: This is the most basic insurance for many international moving companies. Goods are automatically covered under a legal liability standard based on what the transportation industry sets. Most of the time, the ocean carrier is responsible for a certain amount of euro per package. Air shipments are determined by weight. This insurance does not cover partial loss.

• Total loss coverage: Your entire shipment must be lost, destroyed or damaged for this type of coverage to apply. It does not cover any partial loss or damage.

• All-Risk Cargo Insurance: This is the safest, and also the most expensive, choice when it comes to shipping your goods. But it does cover any possible loss or damage during ocean transit. Usually, this includes water or fire damage, theft, partial loss, breakage and more. Additionally, it covers non-delivery of goods and improper stowage by the shipping company This type of insurance is recommended for all household goods and automobile shipments.

WHAT WILL IT COST?

Your costs for extra insurance will vary depending on the type of policy you choose, the value of your goods and the extent of coverage. Whatever they are and whatever their value you should probably make sure you take out a policy that at least covers their total replacement value or at least the cost of any repairs that may need to made as a result of their transportation.

Remember that this must be for what they would cost new, at today’s prices and not what you may have paid for them in the first place. Factor in the rise in value of any antiques. In fact, you should consider taking out specific insurance for anything ‘irreplaceable’. This would at least cover the financial cost, even if the sentimental value can never be repaced.