Full value protection or 60 cents a pound: choosing how your move is covered

Weight or value: the difference in one sentence

Released value pays by the pound, typically no more than 60 cents per pound per item, and costs nothing extra; full value protection makes the mover responsible for the replacement value of lost or damaged goods, and costs more. On an interstate move, federal rules require movers to offer both, and full value protection applies unless you sign to choose released value. On a move within Texas, you and the mover agree in writing on the level of liability, which can be anything from none to full value.

We at IMS Relocation ask every customer to declare the value of their goods and choose a protection level at the estimate, and that choice is printed on both the estimate and the bill of lading. This is general information from our experience, not insurance advice, but it is the decision that matters most if anything goes wrong, so it is worth five minutes of your attention.

What released value actually pays

The numbers make it clear. The Federal Motor Carrier Safety Administration gives this example for interstate moves: if your mover lost or damaged a 50-inch television weighing 25 pounds, released value would pay 15 dollars, which is 60 cents times 25 pounds. The Texas Department of Motor Vehicles uses a similar example for moves within the state: a 50-pound television damaged under a 60-cents-per-pound limit would be reimbursed at 30 dollars.

Released value works reasonably well for heavy, inexpensive items. It works badly for anything light and valuable: electronics, art, lamps, small antiques, a designer chair. Those items weigh little and cost a lot, which is exactly where a by-the-pound limit leaves you short.

• Paid by weight per item, not by what the item is worth
• Federal example: 25-pound TV, 15 dollars
• Texas example: 50-pound TV, 30 dollars
• No extra charge, but minimal protection
• On interstate moves, you must sign a specific statement to choose it

What full value protection covers

Under full value protection, the federal regulator explains, the mover is responsible for the replacement value of lost or damaged goods across the whole shipment. It is the more comprehensive and more expensive option, and the exact cost varies by mover and can depend on the deductible you choose.

There is an important limit. Movers may restrict their responsibility for items of extraordinary value, which the federal regulator defines as items worth more than 100 dollars per pound, such as jewelry, china or furs, unless those items are specifically listed on the shipping documents. If you own something like that, list it. Ask your mover for its full value terms in writing, including how deductibles work and how items of extraordinary value are handled.

How it works on a move inside Texas

Moves that stay within the state follow Texas rules rather than the federal interstate rules. The Texas Department of Motor Vehicles explains that before the move, you and your mover agree on the amount of the mover's liability, if any. That can mean no liability at all, a limit such as 60 cents per pound per item, or a higher level agreed in writing for an additional fee. The moving services contract must clearly disclose the mover's liability for loss or damage.

The practical point: read that line in the contract. A low quote with zero or minimal liability is not the same product as a slightly higher quote with real protection, even if the trucks look the same. We see this most often with local moves around Dallas, where a quote from a company that never visited the home looks attractive until you read the liability section.

Mover liability is not insurance

This trips people up. Both the federal regulator and TxDMV point out that a mover's liability is not the same as insurance, and that you can buy separate insurance to protect your belongings. The federal regulator also lists a mover that claims all your goods are covered by its insurance as a red flag.

We accept third-party insurance as well; we just need to confirm that coverage before the move. Before you rely on your homeowners or renters policy, call your agent and ask whether it covers goods in transit and in storage, what the limits and deductible are, and whether high-value items like jewelry or art need to be scheduled separately. An independent property and casualty agent such as Aaron Husman at The Phoenix Insurance can answer that for your specific policy.

Whichever route you take, write it down. If part of your belongings is covered by the mover's protection and part by your own policy, make sure both sides know where the line is, so a claim does not fall into the gap between them.

Things you can do that weaken your protection

Some of the most common claim problems come from the customer's side, not the truck. The federal regulator lists actions that can limit a mover's liability, and they are worth knowing before you pack a single box.

• Packing hazardous or perishable items without telling the mover
• Packing your own boxes, which can make damage harder to claim
• Choosing released value for goods worth more than 60 cents per pound
• Not telling the mover in writing about items of extraordinary value
• Signing a delivery receipt with language releasing the mover from liability
• Reporting loss or damage late

Storage and long-distance moves need a second look

Protection is not only about the drive. If your goods go into storage between homes, or travel hundreds of miles on a long-distance move, they are handled more times and spend longer out of your sight, and that is when a clear, written protection level matters most. Ask how your chosen level applies while goods are in storage, and whether anything changes if the storage period runs longer than planned. If your own insurer is covering part of the risk, ask the same question there, because some policies treat goods in storage differently from goods in your home.

On interstate moves the federal deadline for written claims is long, but memory and evidence fade fast. The families who come through a long move with the least stress keep their inventory, photos and protection paperwork in one folder that travels with them, not on the truck. When everything arrives, they check it against that folder before signing anything.

One more point: choose the level before moving day. Moving morning is busy and loud, and it is the worst possible time to decide how much your belongings are worth. Make the choice at the estimate, when you can think it through, and confirm it again when you review the bill of lading.

How to pick the right level for your household

Start by estimating what it would cost to replace what you are moving, not what you paid for it years ago. Walk through the house and think about furniture, electronics, rugs, art, kitchenware and clothing. That number is the value you declare, and it is what the protection level is measured against.

Then think about your risk tolerance and your existing insurance. If you are moving a modest apartment of older furniture and have good renters coverage that extends to transit, a lower level may make sense. If you are moving a full house with art, antiques and new furniture, full value protection is usually the safer choice, and the deductible is a lever to balance cost and coverage. Pieces that need special handling also need special attention on the paperwork; our guide to art, pianos and items that need crating covers both.

• Estimate the replacement cost of everything moving
• List any item worth more than 100 dollars per pound
• Check what your own home or renters policy covers in transit
• Compare full value protection deductibles against the price difference
• Get the chosen level in writing on the estimate and bill of lading

Compare protection when you compare estimates

When people line up two estimates, they almost always compare the bottom line and almost never compare the protection level. One estimate might assume full value protection with a moderate deductible while the other assumes released value. The second will look cheaper, and it is, because it is offering much less. Ask each mover to price the same declared value and the same protection level so you are comparing like with like. Our guide on checking a Texas moving company covers the rest of that comparison.

It also helps to understand what happens on delivery day. Note visible damage on the inventory or contract before you sign, keep damaged items and their packaging, and file a written claim promptly. The deadlines differ for moves within Texas and interstate moves; our guide on what to do when movers damage or lose something lays them out.

Ask these questions at your estimate

Whoever you hire for a Dallas move, or any move, get clear answers to these before you sign. A licensed mover should be comfortable answering every one of them in plain English, and should put the answers in writing.

In our experience, the families who have the smoothest claims, on the rare occasions they need one, are the ones who made this choice deliberately at the estimate instead of skimming past it on moving morning.

• Which protection levels do you offer, and what does each cost?
• What deductibles are available under full value protection?
• How do you handle items worth more than 100 dollars per pound?
• Will you accept and confirm my own insurance coverage?
• Where will my chosen level appear in the paperwork?
• How do I file a claim, and how long do I have?

Questions people ask me