What is "Full Value Protection"?
What is Full Value Protection?
Full Value Protection is a comprehensive form of liability coverage offered by professional removal companies in the UK, designed to protect a customer's goods against loss or damage during a move. When a customer opts for Full Value Protection, the removal company takes on greater responsibility for the value of the items being transported. Should an item be lost, destroyed, or damaged, the removal company is typically obligated to either repair the item to its original condition, replace it with a similar item, or compensate the customer for its current market value, up to the total declared value of the entire consignment.
This level of protection differs significantly from Released Value Protection, which offers a much more limited liability based on the weight of the goods rather than their actual value. Full Value Protection is often considered the most extensive form of coverage a removal company offers, providing greater peace of mind for customers moving valuable possessions.
How Full Value Protection Operates
- Declared Value: The customer provides an estimated total value for all the goods being moved. This declared value sets the maximum limit of the removal company's liability for the entire consignment. Accurate valuation is crucial; under-declaring could result in insufficient compensation, while over-declaring may lead to higher costs without additional benefit.
- Settlement Options: In the event of a valid claim, the removal company typically has the discretion to choose the method of settlement:
- Arranging for the repair of the damaged item.
- Replacing the item with one of comparable kind and quality.
- Offering a cash settlement for the item's current market value, factoring in depreciation where applicable.
- Deductibles: It is common for Full Value Protection agreements to include a deductible. This is the amount that the customer is responsible for paying towards a claim before the protection coverage activates. Deductible amounts can vary between different removal providers.
Key Considerations for Full Value Protection
- Packing Standards: For Full Value Protection to be valid, items usually need to be packed to a professional standard. If the removal company provides packing services, this condition is generally met. If the customer chooses to pack their own items, they must adhere to specific packing requirements set by the removal company. Damage to items inadequately packed by the customer may not be covered or could result in a reduced settlement. This is especially important for delicate or specialist items, such as oil paintings and artwork or a large flat-screen TV without a box.
- Detailed Inventory: Maintaining a comprehensive, itemised inventory of all goods, noting their condition prior to the move, is fundamental. This document serves as a record of possession and condition, which is vital if a claim needs to be made.
- Exclusions: Certain items are typically excluded from Full Value Protection. These commonly include:
- Perishable goods, hazardous materials, and flammables.
- Items of sentimental value without verifiable monetary worth.
- Highly valuable items such as jewellery, cash, deeds, bonds, or irreplaceable documents, which customers are usually advised to transport personally.
- Damage arising from inherent vice or a pre-existing defect within the item itself.
- Loss or damage caused by circumstances beyond human control, often referred to as 'acts of God', or acts of war.
- Reporting Procedures: Any loss or damage must be reported to the removal company promptly upon discovery, ideally noted directly on the delivery receipt at the new property. There are strict timeframes for submitting claims, typically ranging from a few days to a few weeks after delivery.
Full Value Protection vs. Home Insurance Coverage
It is a common query whether an existing home insurance covers moving. While some home contents policies may offer limited coverage for goods in transit, this is rarely as comprehensive as Full Value Protection. Home insurance policies often feature higher excesses, specific exclusions for items being moved by third parties, or only cover incidents occurring at the property, not during the actual transit or loading/unloading stages. Full Value Protection is specifically designed for the unique risks associated with the moving process.
Availability and Cost Implications
Full Value Protection is an optional extra offered by established, professional removal companies and is rarely included automatically. It comes at an additional cost, which is typically calculated as a percentage of the declared value of the goods, or as a fixed premium based on the overall size and complexity of the move. While it represents an additional expense, many customers consider it a worthwhile investment for the increased security and peace of mind it provides when moving valuable possessions.