Removal Boss goes to Jail

Here we go again.

 I know it’s common place but I didn’t expect to find so much evidence in the news.

This moving company boss offered “in-transit” insurance cover without having an underwriter. So there was no insurance cover. It’s like putting a bet on without a horse.

Selling insurance is a big profit earner in the moving trade. If the mover doesn’t have too many damages.

However if customers are constantly making claims, then the insurance company will increase the annual premium so the cost becomes unaffordable for the mover.

So the mover then decides to play the insurance game. Taking full risk for thousands of dollars worth of personal effects that are under his care.

A mover only has to have 10 average size houselots to accumulate a million dollars worth of personal effects. That’s allot of risk.

This chap was found out. I wonder how many other movers play the insurance game?

 To check that your mover has an insurance policy underwriting your removal ask to see it. If they can’t provide a copy then there’s something wrong.

Check the expiry date and make sure the policy’s current. Also check the excess.

Most moving companies choose to offer an excess of $500.00 but suppose their underwriting policy has a $5000.00 excess. In effect they are taking a $4500.00 risk on each removal.

This is okay if you have a contract and the mover is accredited. But if you’re expecting an insurance company to arrive and settle your claim think again. You’ll more than likely be negotiating a settlement with the removalist.

Conversely, international “marine-transit” policies are individual. In this case request a copy of the original policy and get the claims agents details at destination. It’s your right to know.