Moving house is a major life event, whether you’re shifting suburbs within the same city, relocating across the country, or heading abroad. In New Zealand, the physical logistics of moving often take centre stage—booking the removals company, arranging dates, and packing belongings. But there’s another essential factor that often doesn’t receive the attention it deserves: transit insurance.

It’s easy to assume your belongings are automatically covered during a move, but the reality is more complex. If you don’t fully understand how transit insurance works, and what it does and doesn’t cover, you could be left unprotected at the very moment your possessions are at their most vulnerable.

Transit Insurance Is Not the Same as Mover Liability

A common misconception is that hiring a professional moving company means your goods are automatically insured. In reality, most removalists in New Zealand are only covered by what’s known as carrier’s liability, which is not the same as full insurance. This limited form of cover only applies under specific circumstances,  usually if the mover is proven to be at fault, and often excludes damage caused by road accidents, extreme weather, or third-party errors.

This means that if your household items are damaged due to a truck crash, a container shifting during sea transport, or moisture exposure while in temporary storage, your claim may not be valid under standard mover agreements. That’s why understanding and arranging appropriate NZ transit insurance for household belongings is critical for every move, even when using a reputable removals company.

Accurate Valuation Is Essential

When arranging transit insurance, you’ll need to declare the value of your belongings. Many people undervalue their goods, either to lower premiums or out of habit, but this can reduce any payout if something is damaged or lost.

Policies are based on declared values. If you claim for a broken item but have listed its worth too low, the insurer may not cover the full replacement cost. Accurate declarations protect you from shortfalls and disputes. High-value items, such as jewellery or electronics, may also require specific listing or proof of value to be included.

Cover Varies by Policy and Circumstance

Not all transit insurance policies offer the same level of protection. Some only cover total loss, meaning you would only be reimbursed if your entire shipment was destroyed in a single incident. Others offer comprehensive cover, which includes partial loss, individual item damage, or deterioration caused by poor handling, shifting loads, or exposure to elements such as water.

The nature of your move matters too. International relocations often involve multiple carriers, storage, and customs clearanceincreasing the chance of delays or damage. If your move includes stops or storage points, check whether the insurance applies during those phases. Not all policies extend beyond simple door-to-door transport.

Storage and Delay Risks Need to Be Understood

Another factor that catches many people off guard is how transit insurance handles time and location boundaries. Some policies cease once your items arrive at a port or depot, not necessarily when they’re delivered to your new address. If your goods are being stored temporarily before final delivery, you may require extended cover or a separate policy to ensure continuity of protection.

This is particularly relevant for international moves, where customs delays or shipping schedules can introduce unexpected storage periods. Without the right cover in place, your belongings could sit uninsured for days or even weeks in third-party warehouses.

Exclusions Can Leave You Exposed

Even comprehensive policies have exclusions. Transit insurance typically does not cover issues such as pre-existing damage, wear and tear, mould, mildew, or deterioration caused by poor packing, particularly when items are owner-packed.

If your insurer specifies that goods must be packed by professionals, failing to do so can invalidate your claim; this aligns with the Contract and Commercial Law Act 2017 (CCLA), where carriers often default to “owner’s risk” for self-packed items, limiting liability unless negligence is proven.

Other common exclusions include perishable goods, certain valuables unless itemised, and damage due to delays that don’t result in actual loss. These terms vary between insurers, so reading the full product disclosure document before signing up is critical. Understanding exactly what is and isn’t covered ensures you’re not caught off guard when it matters most.

Check Your Cover Before the Move Starts

Transit insurance only protects you if it’s the right policy for your move. Whether you’re relocating within New Zealand or heading overseas, make sure the cover reflects your goods’ true value, includes all transit stages, and doesn’t leave gaps around storage or packing. A careful check before moving day can prevent major issues later — when it’s too late to fix.

Photo: Freepik via their website.

CLICK HERE TO DONATE IN SUPPORT OF OUR NONPROFIT COVERAGE OF ARTS AND CULTURE