A Long Island moving company is required to assume all liability for the value of items it moves. This liability comes in four primary forms. As the consumer, you should have a general understanding of what these are so that you can choose the one that best suits your needs.
• Released Value – Of all protection options, this is the most affordable. With released value protection, the movers you hire are liable for no more than $0.60 per pound for each item. Therefore, a claim is settled according to the pound weight of the item, multiplied by $0.60. The problem is that if you have a stereo speaker worth $1,500 that weighs 1 pound that is severely damaged during the move, the company only has to pay you $900.
• Declared Value – In this case, the value of your goods is based on the total weight of the shipment times $1.25 per pound. That means if your shipment with a Long Island moving company weighs 2,000 pounds, the claim for any item that was lost or damaged would be at a depreciated value, up to the maximum liability value based on the entire shipment’s weight. For a 20-pound sound system that cost you $2,000, the mover would have to pay as much as $2,000 but based on the now reduced value.
• Lump Sum Value – With this option, if the value of your entire shipment is more than $1.25 per pound, times the total weight, you have the right to secure additional liability protection from the Long Island moving company. With lump sum value, you would need to declare an amount that exceeds $1.25 per pound, again times the weight of the shipment. This amount would be subject to a valuation charge that is around $7 for every $1,000 worth of declared value. For instance, if you have a 2,000-pound shipment valued at $5,000 you would be charged $35 ($7 for each $1,000 of declared value).
• Full Value Protection – Although this is the most expensive of all protective options, it offers many benefits. With this type of coverage, if anything being moved is lost, damaged, or destroyed, it will be replaced for the full replacement value or you can opt to settle for a cash payout for the replacement value on today’s market. Even if the item were several years old with a depreciated value of $500, if it would cost $1,000 for a replacement, that is what the Long Island moving company would settle for.