Guides
Moving: insuring two homes and your things in transit
How to time homeowners coverage on the old and new house, what your policy covers during the move, and what a mover's liability does and does not pay.
When you move, the safest approach is to insure both houses until the day each stops being yours to worry about: start the new policy on or before closing, keep the old one until the sale closes, and cancel only after you have the settlement statement. Your belongings are a separate problem, because a mover's liability is capped at a fraction of their value unless you buy more, and your homeowners policy covers them away from home only to a limited extent.
The timeline
Most moves follow the same order. Here is the sequence that avoids a gap or a double payment.
- Weeks before closing on the new house: get quotes and choose an insurer. Your lender will want proof of coverage. See getting homeowners insurance when you buy a house and insurance binders and proof of insurance at closing.
- Set the new policy's effective date for the closing day or earlier. Once you own the house you bear the risk, and a loss between closing and your first night is yours. A binder is temporary proof of coverage that the insurer issues until the full policy arrives.
- Keep the old policy running until the sale of that house closes, or until you hand over the keys if you are renting. See insurance while you're selling your house.
- Ask your current insurer about moving the policy. Some insurers will transfer a policy to the new address if they write there. Others require a new application. Rates and eligibility depend on the new location.
- Cancel the old policy after closing, not before. Ask for the cancellation date in writing and a refund of unearned premium. Cancellation timing and refund method differ; see how to cancel homeowners insurance and get a refund.
- Update your mortgage lender and escrow. The old lender needs to release the escrow balance. The new lender needs proof of the new policy.
Overlap is normal
For a few days or weeks you may own two houses. The old policy covers the old house. The new policy covers the new one. Say you close on the new house on June 1 but your buyer closes on the old one on June 20. You need both policies for those 19 days. The cost of overlapping is small beside an uninsured loss.
If the old house sits empty for any length of time before closing, ask whether your policy has a vacancy or unoccupancy limit. An empty, unsold house is the situation where those clauses bite; see vacant home insurance: when you need it and what it covers. The ISO HO-3 (HO 00 03 05 11) excludes vandalism and glass breakage after 60 consecutive days of vacancy, and many insurers' own forms are stricter. Tell your agent if you move out before the sale closes.
What your policy covers during the move
Belongings in the old house
Until the old house is sold, your personal property in it is still covered under that policy's Coverage C, subject to the usual limits.
Belongings at the new house
The ISO HO-3 includes a protection for exactly this situation. Personal property usually located at an insured's other residence is limited to 10% of Coverage C or $1,000, whichever is greater. That limit does not apply to property in a newly acquired principal residence for 30 days from when you begin moving it there. In practice, your old policy follows your things to the new house for 30 days, with the full limit. The 30 days is a bridge, not a plan: start the new policy before you begin moving. Wording varies by form and insurer, so check yours.
Belongings in a moving truck or a storage unit
Property in transit is usually covered under the named perils of Coverage C (fire, theft, vandalism, windstorm, and so on) for a covered loss, but the HO-3 does not cover the things a mover typically causes: breakage, scratches and water damage from careless handling. Theft from an unlocked truck can be disputed. Property in a storage unit is generally covered, but sometimes at the off-premises limit, which may be 10% of Coverage C. your belongings away from home: off-premises coverage explains the off-premises rules. If you put the contents of a house into storage for months, ask your agent whether your limit follows them.
Your mover's liability
A moving company is not an insurer. For interstate moves, federal rules require movers to offer two levels of liability. According to the Federal Motor Carrier Safety Administration's Protect Your Move site:
| Option | What the mover owes | Cost |
|---|---|---|
| Full value protection | Repair, replacement or cash settlement for the replacement value of lost or damaged items; this is the default unless you waive it in writing | Extra charge |
| Released value | No more than 60 cents per pound per article | No extra charge, and you must sign for it |
Released value can leave you far short. FMCSA's own example says a 10-pound stereo component worth $1,000 would earn a payout of $6.00. The agency stresses that these levels are contractual liability, not insurance. If you buy third-party insurance in addition, the mover is still liable only to the chosen level, and the insurer covers the balance up to the amount purchased.
What to do:
- Choose full value protection for anything you cannot replace casually, and read what it excludes. Ask how the mover values items and what it excludes.
- List high-value items on the inventory the mover provides. Photograph and note serial numbers. Use the home inventory builder before the move, not after.
- Carry the irreplaceable yourself: jewelry, passports, medications, laptops, and hard drives.
- Schedule valuables with your insurer if a mover will not take responsibility for them. scheduling jewelry, art and valuables and the valuables coverage checker show which items exceed the default limits.
- Note damage on the delivery paperwork before the crew leaves, then file a claim with the mover promptly. Deadlines are set by the contract and federal rules; your bill of lading states them.
If you move yourself with a rental truck, the picture changes. Your belongings are covered by your homeowners policy only to the extent described above, and rental truck damage waivers cover the truck, not what is in it. A rental company's optional cargo coverage is a separate purchase.
Renting while you move
If you rent a temporary home during a move, you need an HO-4 renters policy for your belongings and liability, unless your homeowners policy follows your belongings. A homeowners policy covers a residence premises you own. A lease will often require renters insurance regardless.
When the move is across state lines
State rules differ on cancellation, refunds, minimum notice and the insurers available. A move from a low-risk state to a coastal or wildfire one can change availability and price dramatically, and sometimes deductible types. Before you commit to a house, run check insurability before you buy a house and use home insurance rules by state for your destination's rules.
Key takeaways
- Start the new policy no later than closing, and keep the old policy until the old house is sold or the lease ends.
- Overlap of coverage is normal and cheap compared with a gap.
- The HO-3 follows your belongings to a newly acquired principal residence for 30 days; do not count on that as a substitute for the new policy.
- A mover's released-value liability can be 60 cents per pound per article. Choose full value protection or buy separate cover for valuable items.
- Carry irreplaceable items yourself, photograph everything, and note damage at delivery.