What is transit insurance?
Moving house can be exciting, but it can also come with a few risks for your belongings along the way. Transit insurance is designed to help cover your possessions if they’re lost or damaged while being moved from your old home to your new one.
You can usually buy transit insurance from a specialist insurer, a removalist or a freight company, depending on the type of move you’re making and the level of cover you want. While some policies may look similar to contents or removalist insurance, they cover different things, so it’s important not to mix them up.
It’s also worth checking your existing cover before you buy a separate policy. Some home and contents insurance policies in Australia may include protection for goods in transit, which could save you from paying for cover you already have.
What does transit insurance cover?
The cover provided by transit insurance will differ depending on the policy you have chosen and the provider. It may include cover for:
- Loss or damage to your goods when being packed and unpacked
- Loss or damage to your goods when being loaded into or unloaded from a mode of transport
- Loss or damage to your goods in transit
- Loss or damage to your goods caused by removalist mishandling
- Incidental storage costs
- Alternative accommodation expenses if required.
What does transit insurance not cover?
Some items may be excluded from cover while in transit, and this can vary depending on your policy or provider.
Common exclusions under Australian contents or transit insurance policies include:
- Cash, cards, and negotiable documents
- Phones and some electrical items
- Building materials
- Business or trade stock
- Pets, animals, plants, trees, and shrubs
- Chemicals, pesticides, and firearms
- Items already excluded under your contents policy
Standalone moving or transit insurance providers may also limit cover for certain items. The Australian Furniture Removers Association (AFRA) notes that removalists may refuse to move:
- Animals and plants
- Prohibited or dangerous goods
If your removalist can’t transport these items, insurance for them won’t apply either. Always check your removalist and your policy’s Product Disclosure Statement (PDS) for details.
For pets, it’s worth checking both your transit and pet insurance policies to see if they’re covered during the move.
How much does transit insurance cost?
If you choose to purchase transit insurance through your removalist or as a standalone product, the costs will differ depending on several factors, including:
- The level of cover chosen
- Whether you choose ‘full replacement’ or ‘market value’ in your cover
- The types of belongings you are transporting
- The distance the belongings need to be transported
- The method of transportation you’re using
- The policy excess.
Coverage options and premium details are available from providers directly. Many of the key policy terms and conditions such as PDS documents are also generally available from insurance provider’s websites. If you are using transit insurance provided by an AFRA-accredited removalist, you can contact AFRA for more details
Do you need transit insurance when moving house?
If you’re moving house, whether to a new home nearby or overseas, it’s worth considering transit insurance to protect your valuable belongings while they’re on the move.
Arriving at your new home after moving only to discover that some of your furniture has been damaged or broken, can be incredibly frustrating— and a costly experience.
While this type of insurance is not a legal requirement when moving house, it has the potential to save you the headache (and cost) of having to repair or replace any items that may get damaged in transit.
How to get transit insurance for moving house
Moving house can be stressful enough without worrying about whether your belongings are covered while in transit. Here’s a simple guide to the main ways you can protect your belongings:
1. Check your contents insurance
While Australian contents insurance policies often include transit cover, Canstar research shows it varies widely. For example, you might be covered if your belongings are damaged by fire, flood, theft, or a road accident while in a moving vehicle—but loading, unloading, or storage may.
Tip: Always notify your insurer about your move. Some policies require this to remain valid. Read the PDS, Key Facts Sheet (KFS), or Target Market Determination (TMD) to understand all exclusions in a specific policy.
2. Ask your removalist
If your contents insurance doesn’t cover your move, your removalist may offer insurance. Not all removalists are required to provide cover, so check carefully before you buy a policy—and know what’s covered.
What to look for:
- Use a removalist accredited by the Australian Furniture Removers Association (AFRA). Accreditation means they meet standards for staff, equipment, and insurance.
- Ask about the type of cover: liability insurance may protect against negligence, but not every accident.
- Understand the cost, excess, and whether you’re covered for full replacement or only current value.
- Make sure you receive and read the PDS and Financial Services Guide (FSG) before purchasing.
- Get recommendations from friends or family and research companies thoroughly before booking.
3. Consider standalone transit insurance
If your contents insurance or removalist cover doesn’t suit your needs, standalone transit insurance is another option. Specialist providers offer policies tailored for moving and storage, letting you decide the value and type of cover you need.
What to think about if you’re considering this type of cover:
- Always compare multiple providers to find the best price and coverage on the market.
- Read the PDS carefully. Check inclusions, exclusions, and limits so you can be confident in what is and isn’t covered.
- Talk to your provider directly if anything is unclear.
What if I’m moving overseas or back to Australia?
If you’re relocating abroad or moving back to Australia and want to ship your belongings to your new home, there are transit insurance options available. Check with your chosen shipping, freight or cargo company—as they may be able to offer you a more competitive rate as an existing customer—or from an insurance provider that specialises in international transit cover. You can research transit insurance options online or talk to an insurance broker about policies that suit your needs and budget.
What about insurance once you’re in your new home?
Got an existing home and contents insurance policy? You’ll need to contact your current provider to notify them about your move. This might feel a bit like ‘admin’, but it’s the perfect time to discuss any changes that need to be made to your policy.
For example, you might need to adjust the amount your property is insured, or if you buy new furniture for your new home. Your existing policy may provide some cover for your belongings for a short period of time after your moving date, but make sure you review your policy documents or check with your insurer for details.
If you don’t have home and contents insurance, or are looking to review your cover, comparing your options and requesting quotes from different providers will help you choose a provider that feels right for your budget and circumstances. Check out a range of home and contents insurance policies in one place with our comparison tool—it makes seeing your options simple so you can find the cover that works for you.
Some home insurance providers may offer sign-up deals and discounts for new policies. Keep in mind the cheapest policy or one with a sign-up deal may not always provide the cover you require, so it’s a good idea to read a policy’s PDS before making a decision.
