Do Removalists Have Insurance?

Why Insurance Matters When Moving House

Moving day carries real risk. Items are lifted, carried through doorways, loaded onto trucks, transported over distances, and unloaded at the other end. At any one of those points, something can go wrong. A dropped box, a scratched floor, a damaged piece of furniture, or worse.

Without the right insurance in place, the financial consequences of that damage fall on you. Understanding what your removalist covers, and what you may need to arrange separately, gives you a much stronger position as a consumer before the moving process begins. Being fully protected before moving day is not about worst-case thinking. It is simply good planning.



Types of Removalist Insurance

Professional removalists typically hold some combination of the following insurance types. Not every removal company holds all of them, so it is worth confirming each one before you book.



Public Liability Insurance

Public liability insurance covers accidental damage to property or injury to others during the move. If a removalist damages a wall, drops a piece of furniture onto a neighbour's car, or causes an injury on your premises, public liability insurance is what responds to that claim.

Goods in Transit Insurance

Goods in transit insurance covers your belongings while they are being transported. This is the cover most relevant to you as a customer, and it is usually necessary for any meaningful financial protection of your personal items during a move.



Carriers' Legal Liability Insurance

Carriers' legal liability insurance provides more limited cover held by the removalist themselves. It applies when damage is caused by the removalist's direct negligence or a significant vehicle incident. It does not cover general accidental loss or mishaps during loading and unloading.



Motor Vehicle and Third-Party Property Insurance

Motor vehicle and third-party property insurance covers the removalist's truck and any damage it causes to other vehicles or property on the road.



Professional Indemnity Insurance

Professional indemnity insurance covers potential claims arising from errors or omissions in the removalist's professional advice or services. This is less common in the removals industry and more relevant to companies offering advisory or consulting services.

Insurance coverage limits and inclusions vary between providers. Confirming exactly what is held, and to what level, is part of doing your due diligence before booking.



Public Liability Insurance: What It Covers

Public liability insurance is the most commonly held type of removalist insurance in Australia. It protects against accidental damage to third-party property and injuries that occur in the course of the move.

Practical examples include a removalist accidentally putting a hole in a wall while manoeuvring a piece of furniture, or causing damage to flooring during loading or delivery. If a visitor or bystander is injured during the move, public liability cover may also respond to that claim.

Before your move, ask your removalist to confirm they hold current public liability insurance. A reputable removalist company should be able to provide a certificate of currency (a document confirming their policy is active) without hesitation.



Goods in Transit Insurance: What It Actually Covers

Goods in transit insurance provides financial cover for your possessions if they are damaged or lost while being transported from one location to another. The scope of that cover, however, depends heavily on the specific policy.

Some policies provide full cover for a broad range of events including fire, flood, theft, and accidental damage during transport. Others are more restricted, covering only specific perils such as collision or vehicle rollover. Reading the fine print or asking your removalist to explain all the details clearly matters.

The Packer Rule

Many transit insurance policies will not pay out for breakages inside boxes that you packed yourself. If a removalist packs the box, they can verify how it was done. If you packed it, they cannot. This is sometimes called the owner-packed exclusion, and it catches a lot of people off guard. If packing your own boxes is part of your moving plans, confirm with your removalist and insurer how this affects your cover option before the move.



Weight-Based or Capped Cover

Basic transit cover (the more limited cover end of the spectrum) may calculate compensation based on the weight of an item rather than its replacement value, or apply a capped total across all goods. This can leave you significantly underinsured for higher-value belongings. Most removalists will be able to explain how their cover is calculated, so ask before you sign anything.

Always ask your removalist whether loading and unloading are included in the cover, not just the transport leg itself.



Carriers' Legal Liability: The Narrower Cover

Carriers' legal liability is a form of cover the removalist holds for their own protection. It applies in cases of direct negligence or a major incident involving the vehicle. Things like a truck accident that destroys the load.

It does not respond to general accidents during packing, loading, or placement of your goods. Many customers assume this cover extends to their household goods broadly, but it is narrower than it sounds. Goods in transit insurance provides far more relevant protection for your household goods during an everyday move.



Removalist Insurance Versus Your Home and Contents Insurance

Before purchasing any additional cover, it is worth checking your existing home and contents insurance policy. Many comprehensive policies include a goods-in-transit clause that activates when a licensed professional removalist is used.

That insurance coverage often comes with conditions. It may exclude owner-packed boxes, apply only to certain types of damage, or require you to have notified your insurer before the move. Contact your insurer directly, including providing your contact details so they can update your records, to confirm what is and is not covered for your specific move, and whether any conditions apply.



Standalone Moving Insurance

If your existing policy does not adequately provide cover for your belongings during transit, standalone removals insurance is available from specialist insurers and insurance brokers. You can research cover online and compare insurance options based on the value of your goods, the distance of the move, and the level of risk involved. These policies are designed specifically for relocations and can often be arranged at reasonable costs relative to the peace of mind they provide.



Moving Overseas

For moving overseas, specialist international transit or marine insurance is worth considering, as standard domestic policies rarely extend to international freight. Your financial situation, particularly the total value of what you are shipping, should guide how much cover you take out.



Storage Insurance

If there is a gap between leaving one property and moving into another, check whether storage is covered during that storage period. Many transit policies do not automatically extend to cover items in storage, and separate storage insurance may be needed. Ask your removal company about this before your move date is locked in.



Common Exclusions to Know About

Insurance policies for moving typically exclude certain categories of items. It is important to read the fine print of any policy and not assume that cover extends to everything being moved. Common exclusions include:

• Cash, cards, and financial documents
• Phones and portable electronics
• Jewellery and watches
• Items of sentimental value with no market value
• Plants and perishables
• Pets and animals
• Mechanical or electrical derangement (internal failure of appliances unrelated to external impact)
• Consequential loss (costs arising from the delay or disruption caused by a damaged item, rather than the item's value itself)
• Items packed by the owner, as discussed above

These exclusions vary between policies and providers. Reading the Product Disclosure Statement (PDS) before your move is the only reliable way to know exactly what is and is not covered.



Understanding Insurance Documents: PDS and FSG

If a removalist is licensed to offer insurance as a financial product, they are required under Australian financial services law to provide you with two documents before any insurance is arranged:

• A Product Disclosure Statement (PDS) — which sets out what is covered, what is excluded, any limits, and the excess you would need to pay if you made a claim.
• A Financial Services Guide (FSG) — which explains the nature of the financial service being provided and the company's authorisation to provide it.

Many removalists (including those who carry their own goods in transit cover) are not licensed to sell insurance as a financial product to customers. If your removalist cannot provide a PDS and FSG, arrange your own cover through a specialist insurer or broker before moving day. This is common, and a good removalist will tell you so upfront.



How to Verify a Removalist Is Properly Covered

Before booking, ask your removalist directly:

• Do you hold public liability insurance? Can you provide a certificate of currency?
• Do you carry goods in transit insurance, and what does it cover?
• Does your cover include loading and unloading, or just transport?
• Are owner-packed boxes covered?
• What items are excluded?
• What is the process for making a claim?

Checking whether a removalist is accredited by the Australian Furniture Removers Association (AFRA) is also a useful step. AFRA membership requires companies to hold public liability insurance, third-party property insurance, motor vehicle insurance, and carriers' legal liability insurance as a minimum. AFRA-accredited members who complete the relevant training are also authorised to provide insurance to customers, usually at an extra cost, and must provide a PDS and FSG when doing so.



Costs, Excesses, and Making Claims

If you do make a claim, the excess — the amount you pay before the insurance responds — will affect how much you actually recover. Higher-excess policies carry lower premiums but can reduce the practical value of a claim on lower-cost items. Where possible, choose a cover option with an excess that reflects your financial situation and the value of what you are moving.

To support any claim, document your belongings before the move. Take photos or video of items in their original condition, noting any pre-existing damage. Keep receipts or valuations for higher-value goods. Create an inventory of what is being moved and keep a copy with you, not on the truck.

If damage occurs, photograph it immediately and report it to the removalist before they leave. Do not delay. Most policies require claims to be lodged within a set window after delivery.

Pre-Move Insurance Checklist

Before moving day, work through these steps:

• Confirm your removalist holds public liability insurance and goods in transit cover
• Ask for a certificate of currency for public liability
• Check whether your home and contents policy covers transit
• Read the PDS for any insurance your removalist provides
• Note exclusions, particularly for self-packed boxes and electronics
• Document and photograph your belongings before packing
• Keep an inventory and retain receipts for valuable items
• Consider standalone removals insurance if existing cover is insufficient
• For high-value or irreplaceable items, seek specific advice from an insurance broker. The peace of mind is worth it



Questions Worth Asking Your Removalist About Insurance

• Can you explain what your insurance covers and what it does not?
• Can you provide a PDS and certificate of insurance before I book?
• Are my household goods covered during loading and unloading, not just while in the truck?
• What happens if I pack my own boxes — does that affect coverage?
• Do you cover storage if there is a gap between my move-out and move-in dates?
• How do I make a claim, and what is the timeframe for doing so?



Final Thoughts

Insurance is not the most exciting part of planning a professional move, but it is one of the most important. Knowing what your removalist covers, and what they do not, lets you fill any gaps before something goes wrong rather than after. 

The right removal company will answer these questions clearly and without hesitation. If you are looking for reliable, professional removalists in Wollongong and want to know exactly what is covered before you book, get in touch with the team at It's About Removals. We carry comprehensive public liability insurance and goods in transit cover on every job. What this means for you is complete peace of mind before the first box is even lifted.