Transit Insurance vs Carrier's Risk: What Your Move Is Actually Covered For

"Is my stuff insured?" is one of the first questions customers ask us, and one of the hardest to answer in a single line. The honest answer is: it depends on what you opted for, what value you declared, how the goods were packed and what was written down at loading. Two families can move the same distance in the same truck and end up with very different protection.

Most arguments between customers and movers that we have seen over the years come down to one misunderstanding. The customer thought "insurance" meant every scratch would be paid for. The mover thought it meant something narrower. This guide explains the two main kinds of protection, carrier's risk and transit insurance, what each one covers, what usually is not covered at all, and how to set things up so a genuine claim actually gets paid.

Two different things that both get called "insurance"

Carrier's risk (the mover's own liability)

When you hand goods to a mover, the mover takes on some responsibility for them while they are in its care. Many movers offer this as "carrier's risk" or "company's risk": for a charge, the mover itself agrees to compensate you for loss or damage up to a stated limit, under its own terms.

The key points about carrier's risk:

• It is a promise from the mover, not from an insurance company.
• The terms, limits and exclusions are set by the mover, so read them.
• How useful it is depends on how solid the mover is. A promise from a firm that cannot be traced is not worth much.
• Compensation may be capped per item, per carton or as a share of declared value, depending on the terms.

Transit insurance (a policy from an insurer)

Transit insurance is a policy issued by a general insurance company that covers your goods while they are being transported. The mover usually arranges it on your behalf, but the contract is with the insurer, and the claim is settled by the insurer according to the policy wording.

The key points about transit insurance:

• You should receive a policy or cover note showing the insurer's name, the policy number, the declared value and the period of cover.
• The premium is generally a small percentage of the declared value. Your quote should show it as a separate line so you can see exactly what you are paying for it.
• Cover may be "total loss only" (for example, the truck meets with an accident or catches fire) or wider, covering damage to individual items. The type of cover makes a big difference.
• The claim process involves the insurer and sometimes a surveyor, so it takes longer than settling with the mover directly.

Side by side

Point	Carrier's risk	Transit insurance
Who stands behind it	The moving company	A general insurance company
Document you get	Terms on the quote, consignment note or a separate letter	Policy or cover note with a policy number
Who decides the claim	The mover, under its terms	The insurer, often after a survey
Typical strength	Faster settlement for small damage	Better for large losses like an accident or fire
Typical weakness	Only as reliable as the mover; limits can be low	Stricter paperwork; some policies cover total loss only
What to check	Written limits and exclusions	Policy wording, type of cover, claim window

Some customers take both, some take one, and some take neither for a short local move. There is no single right choice. What matters is that you know which one you have and what it says.

Declared value: the number that decides everything

Declared value is the value you state for your goods when you book the move. Both carrier's risk and transit insurance are built around it. The premium or charge is worked out from it, and any compensation is limited by it.

People get this wrong in two directions.

• Declaring too low to save on the premium. If you declare your whole household at a fraction of its real worth and a loss happens, the payout is limited to what you declared. Insurers can also reduce a claim proportionately when goods were under-insured.
• Declaring too high. You pay more premium, but the insurer will still settle on the actual loss, not on an inflated figure. Over-declaring does not make you money.

A sensible approach is to list your major items (fridge, washing machine, TV, sofa set, beds, wardrobes, dining table, AC units, computers) with a realistic current value, not the price you paid ten years ago, and add a reasonable figure for cartons of general household goods. Items of high value should be listed individually on the inventory so there is no argument later about whether they were part of the consignment.

What is usually not covered

Exclusions vary between movers and between policies, so read yours. But these come up again and again, and it is better to know about them before packing day.

• Self-packed items. Cartons you packed yourself are often excluded or covered only for total loss, because nobody can say how well the contents were packed. If you want something covered, let the mover pack it, or at least let them check and seal it in front of you.
• Cash, jewellery, documents and valuables. These are almost always excluded. Carry them yourself. This includes passports, property papers, certificates, cheque books, hard drives with important data, and small expensive items like watches.
• Pre-existing damage. A scratch on the dining table that was there before the move will not be paid for. This is why the condition report at loading matters so much.
• Mechanical and electrical faults. If your washing machine or AC stops working after the move but has no visible external damage, it is very hard to claim. Internal faults, wear and tear and age-related breakdowns are generally excluded.
• Normal wear, minor scuffs and rubbing marks. Some policies have a minimum threshold or excess below which nothing is paid.
• Perishables, plants, liquids and hazardous items. Gas cylinders, paint, fuel, cleaning chemicals and food are often excluded and in some cases cannot be carried at all.
• Delay. Most policies do not pay for losses caused only by late delivery, such as hotel costs while you wait.
• Damage after delivery is signed off. Once you sign a clean delivery receipt, it becomes much harder to claim for damage you notice the next day.

Photos and condition reports: your evidence

A claim is only as good as the evidence behind it. Insurers and movers both ask the same question: was this item in good condition when it was handed over, and is the damage new?

At loading

• Take clear photos of every major item before it is wrapped, especially furniture surfaces, TV screens, glass tops and appliances.
• Make sure existing scratches, dents and chips are noted on the inventory or condition report against that item. Do not let the crew write "old damage" against everything as a blanket remark; ask them to be specific.
• Check that the inventory lists the number of cartons and each large item, and that both you and the mover's supervisor sign it.
• Photograph the loaded truck and the vehicle number.
• Keep a copy of the consignment note and the insurance papers before the truck leaves.

At delivery

• Count the cartons against the inventory before the crew leaves.
• Unwrap and check large items and appliances in front of the crew, at least for external damage.
• Photograph any damage before moving the item or repairing it.
• Write the damage on the delivery receipt or consignment note. If you have not been able to open everything, write "received subject to unpacking and inspection" before signing.

Our delivery inspection checklist walks through this item by item.

A Dehradun note on monsoon moves

Between roughly July and September, water damage is a real risk, particularly on routes through the hills or when goods are shifted to a smaller vehicle for places like Mussoorie or the narrower lanes near the cantonment. Ask how the truck is covered, whether mattresses and sofas are wrapped in waterproof sheets, and whether the policy covers water damage. Some policies are narrow on this point.

How to make a claim

The steps are similar for carrier's risk and transit insurance, though transit insurance usually involves more paperwork.

1. Note the damage at delivery. Write it on the delivery receipt and take photos immediately.
2. Inform the mover in writing quickly. Send a WhatsApp message and an email the same day or as soon as possible, listing the damaged items and attaching photos.
3. Check the policy wording for the claim window. Both movers and insurers set a time limit for reporting damage and for submitting the full claim. These vary. Find the exact window in your policy or the mover's terms and do not wait until the last day.
4. Do not throw away the damaged item or its packing. A surveyor may need to see it. Do not repair it before the claim is assessed unless the insurer agrees.
5. Collect documents. Usually the policy copy, consignment note, inventory with condition remarks, delivery receipt with damage noted, photos, a claim form, and sometimes repair estimates or purchase bills.
6. Cooperate with the survey. For transit insurance, the insurer may appoint a surveyor to inspect the damage. Be present, show your photos, and keep a copy of whatever is recorded.
7. Keep everything in writing. Follow up by email so there is a trail.

If a mover refuses to engage with a genuine claim, our post on what to do if a mover cheats you lists the consumer complaint routes. If you are moving on an official transfer, the insurance papers are also usually part of your reimbursement file; see our guide to IBA approved packers and movers for the full document list.

Questions to ask before you book

• Is the cover carrier's risk, transit insurance, or both?
• If transit insurance, which insurer, and will I get the policy or cover note before the truck leaves?
• Is it total loss only, or does it cover damage to individual items?
• How is the charge calculated from my declared value, and is it shown separately on the quote?
• What is excluded, especially for self-packed cartons, electronics and water damage?
• Is there an excess or minimum claim amount?
• What is the claim window, and who do I contact?
• Does the cover include the vehicle, if I am also moving a car or bike, or is that separate?

Asking these questions also tells you something about the mover. A firm that answers clearly and puts it in writing is one you can probably work with. You can include the answers in your quote comparison so you are comparing like with like.

About us

Agarwal Packers and Movers has been moving households from Dehradun since 2003. Ask us to show the protection option and its charge as a separate line on your quote, and we will go through the terms with you before you decide. Our head office is at Plot 781, Chanyak Marg, Saharanpur Road, Subhash Nagar, Dehradun 248002. If you need packers and movers in Dehradun and want to talk through cover for your move, call +91 93681 08590 or +91 70178 82334, any time of day.

Frequently asked questions

Is transit insurance compulsory for a house move?

No. It is optional. For long-distance moves or moves with expensive furniture and appliances, many people choose it. For a short local move, some customers rely on carrier's risk or take no cover. Decide based on the value of your goods and the route.

How much does transit insurance cost?

The premium is generally a small percentage of the declared value, and it varies by insurer, type of cover and route. Ask for it as a separate line on your quote so you can see exactly what you are paying.

Will insurance pay if my TV stops working after the move?

Only if there is visible physical damage linked to transit, and only if your cover includes item-level damage. Internal electrical or mechanical faults without external damage are usually excluded.

Are cartons I packed myself covered?

Often not, or only for total loss. If you want contents covered, let the mover pack them or check and seal them in front of you, and note them on the inventory.

How long do I have to make a claim?

It depends on the policy or the mover's terms. Check the policy wording for the claim window, report damage in writing as soon as you notice it, and note it on the delivery receipt before signing.

What happens if I declared a lower value than the goods were worth?

Any payout is limited by the declared value, and an insurer may reduce the claim proportionately for under-insurance. Declare a realistic current value.