Moving company insurance: coverage, requirements and costs

A moving company has three insurance problems that other trucking and service businesses do not. It hauls consumers' household goods, so federal and state rules set how much it owes when something breaks. It sends crews into customers' homes, so its general liability and workers' comp see constant exposure. And it often stores goods, which makes it a bailee for property it neither owns nor controls the building of. Household and office goods moving is NAICS 484210 in the 2022 Census Bureau code list.

Why moving companies need business insurance

A move is a stack of small losses with a few large ones: a scratched table, a dropped television, a gouged hardwood floor, a missing box, and now and then a truck crash or a warehouse fire. The labor is physical. The Bureau of Labor Statistics says hand laborers and freight movers "have some of the highest rates of injuries and illnesses of all occupations", with sprains, strains and overexertion from moving heavy items and awkward positions (BLS Occupational Outlook Handbook, 2025). Workers' comp is therefore a major cost.

The truck is the third exposure. A loaded straight truck or tractor-trailer on the road carries the same liability exposure as any other for-hire freight vehicle; see Trucking company insurance.

Core coverages

• Motor truck cargo. Pays when the customer's goods are lost or damaged in transit, within the policy's perils, exclusions and limits. A cargo policy often excludes or limits items such as jewelry, cash, fine art, antiques and goods packed by the customer. See motor truck cargo insurance: how it works and where it stops.
• Auto liability. Bodily injury and property damage to others from your trucks. See commercial auto insurance: what it covers and what it leaves out. Interstate movers also need the federal filings below.
• General liability. Damage to the customer's home during loading, injuries to bystanders and the premises exposure at your office and warehouse. The Care, custody and control: why the CGL won't pay for property you hold removes the customer's goods themselves, which is why cargo and warehouse cover exist.
• Warehouse legal liability or bailee coverage. If you store goods in your own or a third-party warehouse, the property is in your care. See bailee coverage: insuring customers' property in your care.
• Workers' compensation. Required by state law once you have employees; see workers' comp requirements by state: who must carry it. Rated by class code; moving and trucking classes are among the more costly, and the use of day laborers and 1099 crews is an audit issue.
• Physical damage, hired and non-owned auto, and inland marine. Trucks and equipment, rented trucks and ramps; see Hired and non-owned auto (HNOA) coverage: what it covers and who needs it and inland marine insurance for tools, equipment and goods in transit.

Coverage you may be required to carry

Federal rules for interstate moves. Part 375 of 49 CFR applies to movers of household goods in interstate commerce. Under 49 CFR 375.201, the mover is legally liable for loss or damage during transportation and related services. The default is full value protection: the replacement value of lost, damaged or undelivered goods, up to the shipment's declared value. A shipper may waive that in writing and accept the lower released rate set by the Surface Transportation Board, which the carrier may adjust annually. The mover must clearly disclose its limits, and if it sells insurance and does not provide the policy or other evidence, it may face additional liability.

The released option the industry developed is 60 cents per pound per article, as the Surface Transportation Board describes it in a 2012 decision, which also adopted minimum full-value levels of $6.00 per pound and $6,000 per shipment. A damaged 25-pound television would settle at $15 under the released rate; the written waiver is what keeps the mover's exposure there. The shipper's choice is a business and insurance decision as much as a consumer one: every claim above the released amount is decided by what the shipper signed.

Public liability and cargo filings. For-hire property carriers of 10,001+ lbs GVWR in interstate commerce must meet the 49 CFR 387.9 minimum of $750,000 (higher for hazmat), proved by Form MCS-90, an MCS-82 bond or FMCSA self-insurance authorization (49 CFR 387.7). See FMCSA insurance requirements and filings for motor carriers and The MCS-90 endorsement explained: what it guarantees and what it doesn't. 49 CFR 387.303(c) lists household goods cargo security of $5,000 per vehicle and $10,000 per occurrence, but the eCFR shows that section as suspended indefinitely, so confirm the current requirement with FMCSA and your insurer.

State rules for local and intrastate moves. Each state regulates movers differently. Two verified examples:

• New York. The Department of Transportation requires movers to file cargo insurance evidence on Form H and rejects ACORD certificates. Its movers' guide also sets a valuation system for intrastate moves under a binding estimate: every shipment is automatically accepted at a value of $5,000 unless the shipper writes another value, or rejects it and accepts 60 cents per pound per article. The carrier must procure an insurance policy covering the shipper's loss before the move, and failing to issue a policy or evidence of insurance subjects the carrier to full liability.
• Texas. The Department of Motor Vehicles requires intrastate household goods carriers to register, to keep proof of insurance on file (Form H & I for cargo), and to have the insurer give at least 30 days' notice before cancellation.

Other states use public utility commissions or transportation departments; ask yours for the permit, bond and insurance rules before buying. Building managers at condominiums and offices often require a certificate of insurance with general liability and workers' comp before a move-in, and corporate relocation companies set their own limits; see contract insurance requirements checker.

Common claims and how to prevent them

• Damage to goods. Use a written inventory and condition report at load, padded wrapping, tie-downs and a documented delivery signature. Check the packing method; goods packed by the customer are often excluded from cargo coverage.
• Damage to the home. Floor runners, door-jamb protection, corner guards and an elevator reservation.
• Worker injury. Lifting aids, dollies, team lifts, pre-shift stretching, and a modified-duty return-to-work plan.
• Lost or stolen goods. Locked trucks, seals on loads, vetted crews and no unattended trucks overnight.
• Truck accidents. MVR review, drug and alcohol testing, telematics and a fleet safety program; see building a fleet safety program that insurers notice.
• Valuation disputes. Disclose released vs full value in plain language, get the signature, and explain how claims are paid.

What drives the cost

• Cargo is rated on revenue or number of trucks, the maximum load value, and the share of long-distance and storage work.
• Auto liability is rated per power unit by radius, driver records and claims history; interstate and long-distance moves rate higher than local moves. See exposure base.
• General liability is rated on receipts or payroll; residential moves, piano and specialty moving, and packing services affect it.
• Workers' comp is rated on payroll by class code, plus your experience mod; payroll for helpers, day labor and drivers is split by class.
• Underwriting questions: local vs long-distance, packing and storage, subcontracted crews, number and age of trucks, years in business, FMCSA and state complaint history and loss runs.

Specialized coverages to consider

• Warehouse legal liability and storage-in-transit cover if you store goods.
• Umbrella liability over auto and general liability; see commercial umbrella insurance.
• Crime and employee dishonesty for crews who enter homes; see employee theft coverage and fidelity bonds: what they cover and who needs one.
• Employment practices liability for larger companies and those using many seasonal workers.
• Cyber for customer records and payment cards.
• Mover's valuation insurance programs, a third-party product that customers buy, which is separate from the mover's own valuation liability.

How to buy

Moving is a specialty class. Look for agents that place moving and storage accounts, and for carriers with moving programs. Compare how each quote handles cargo exclusions for customer-packed goods, the valuation form you use, storage cover and subcontracted crews. Have ready: annual revenue by local, long-distance and storage, truck schedule, payroll by job, subcontractor agreements, tariff and bill of lading, FMCSA and state permit numbers, and five years of loss runs. See how to prepare an insurance submission underwriters will read.

Key takeaways

• Interstate movers owe full value protection unless the shipper waives it in writing for the released rate; the rate commonly used is 60 cents per pound per article.
• Cargo coverage and valuation are different things; the policy does not set what you owe the shipper.
• Interstate carriers need the 49 CFR 387.9 liability minimum and MCS-90; check the suspended status of the household goods cargo section in 387.303.
• State rules vary; New York and Texas, for example, require insurance evidence to be filed.
• Workers' comp is the largest ongoing cost for most movers; classify crews correctly.