Table of Contents:
Why You Must Know What You’re Signing
Binding & Non-Binding Quotes
Bill of Lading
Released Value & Full Value Insurance
Why You Must Know What You’re Signing
One of the most common mistakes we see people make when moving home is not understanding the paperwork that they are given by the moving company.
This can be a costly mistake both financially and emotionally.
In this post we will explain all you need to know about movers paperwork so that you do not make any costly mistakes, you will have the knowledge to understand what the differences are between different offers, and therefore can make an informed and well-reasoned decision about your move and the costs you may face.
Binding and Non-Binding Quotes
A moving quote is an estimate provided by a moving company that shows how much your move will cost based on factors such as:
- The total weight or volume of your belongings
- The distance of the move
- Additional services (packing, storage, special handling, etc.)
These quotes fall into one of two categories: binding and non-binding, although some movers may also offer binding-not-to-exceed quotes.
Binding Quotes
A binding quote is a fixed estimate that guarantees the price of your move won’t change, as long as the inventory and any additional services that you have requested do not change.
Should you add additional services or want to move more things you will incur additional charges.
Conversely, if you move fewer things then your quote will not change, you will still be charged the original sum.
If you are sure your moving inventory is correct then this is the preferred type of quote to get.
Binding-Not-To-Exceed Quotes
These type of quotes are only valid for interstate moves and are rarely offered by movers.
The final price you are quoted cannot be exceeded but may be lowered if you move fewer items or require fewer services than planned.
Non-Binding Quotes
A non-binding quote is at best a guestimate on what the final cost of your move will be. It is not a guaranteed price and you will be charged for the actual weight/volume of the items being moved.
| Type of Quote | Definition | Final Cost | Risks | Best For |
| Binding | Based on estimated weight and services | Will not change, even if actual weight is higher | Low: You know exactly what you’ll pay | When you want price certainty |
| Non-Binding | Based on expected weight and services | Can increase if actual weight is higher than estimated | High: You may end up paying substantially more | If the actual weight is uncertain or hard to estimate |
| Binding Not-to-Exceed | The price is capped, but can go lower if the weight is less | Will not exceed the estimate, but can be less if weight is lower | Very Low: Offers price protection and possible savings | Best when you want a ceiling but hope to pay less |
Bill of Lading
The Bill of Lading (BOL) is the contract between you and the moving company.
It is crucial that you read and fully understand this document as this is where costly misunderstandings and scams often originate.
No matter what was discussed between you and the salesperson, if it is not on the BOL it legally does not exist.
The BOL details the services that the moving company has agreed to provide, the costs quoted for the move, and the conditions under which your items will be transported.
Basically, it is a receipt and a contract rolled into one which outlines the responsibilities of both the mover and the customer.
Pay particular attention to delivery times as this is one of the most common reasons that we see complaints about.
Read, read, and read again this document to ensure that everything is correctly listed, that there are no hidden fees that you were unaware of, and that the correct type of quote and insurance is clearly documented.
Just as this document is designed to protect the consumer it can also be used by the mover to justify additional charges, so be aware.
Released Value & Full Value Insurance
Being underinsured is the most common home moving mistake.
Browse through reviews, and you will see time and again where people did not realize just how little their precious items were insured for.
Movers will offer you Valuation Coverage. This is not insurance.
Moving Insurance is provided by a licensed insurance company or agent. You pay a premium, and the insurer covers loss or damage up to your policy limits.
Valuation Coverage is provided by the moving company. It states how much they are legally responsible for paying if your belongings are lost or damaged during the move.
It is also worth mentioning that if you pack your items yourself then they are almost never covered by the movers insurance. You will need to take out additional in transit insurance, or better still, leave the packing to the professionals.
Released Value Insurance
On your Bill of Lading this is what is typically included and is often listed as free.
Free always sounds good, especially when moving costs are so high, but beware:
- Coverage is only 60 cents per pound per item
- Compensation is based on the weight not the items value
Only ever agree to Released Value Insurance if you are moving very low value items.
Remember that this is automatically included in your quote and if you sign the bill of lading then this is the insurance that you agree to.
You may be able to supplement this basic cover by taking out third party insurance or in some cases you may be covered on your home insurance.
You need to check for Items in Transit cover but note that this rarely covers the loading and unloading and will almost certainly exclude any items you have packed yourself.
Full Value Protection
Full value protection typically costs 1% of your total shipment value, but is money well spent. Insuring your precious items is one part of your moving costs that you should never try to save money on.
By opting for Full Value Protection our mover is liable for the full replacement or repair value of any lost or damaged items.
Your belongings will be repaired, replaced with a comparable item, or reimbursed at current market value should any damage be caused.
If you are moving interstate or internationally especially always take the Full Value Protection option as your items will be handled multiple times before they arrive at your new home.
Pay special attention to any deductibles or payout cap that applies to the insurance that you are offered.
| Type of Move | Recommended Coverage |
| Low-value items | Released Value (free) |
| High-value or sentimental items | Full Value Protection |
| Complete coverage for rare or luxury items | Full Value plus Third-Party Insurance |
| Self-packing and a short local move | Released Value |
| International or Interstate moves | Full Value Protection |
Moving home can be stressful, and when we are stressed we often make mistakes.
Take the time to read and fully check any paperwork you are given to sign and you can be sure that your move is well protected and your final moving costs are under control.
There is no price you can put on the peace of mind that will bring you.
Good luck with your move.
About the Author
This article was written by the team at Rex Direct, the owners of QuickMovingQuotes.com.
Rex Direct supports businesses and consumers throughout the moving industry by providing technology and data solutions that help homeowners compare moving services, understand pricing, and make informed relocation decisions.
Through their work with movers, relocation platforms, and lead generation services, the Rex Direct team has developed extensive insight into how interstate moving companies operate and how consumers can protect themselves during the moving process.