FAQ’s on Overseas Moving Insurance

As the trade term, CIF (Cost, Insurance and Freight) suggests, marine and insurance is an integral and part and parcel component of international shipping and moving. Since people are shipping things because they mean something or great deal to them, it will be necessary to have shipments insured.

Is the insurance valid even when I pack my goods myself?

Some prospective customers occasionally tell us that some international moving companies in Japan told them that the goods cannot be insured if the contents are personal effects and they do the packing themselves, however, this is not true as far as the insurance you purchase through us is concerned. So, the answer to this question is “Yes”. You can purchase insurance even if you pack the goods yourself. Almost everyone using our overseas moving services does packing himself/herself. Naturally, insurance companies are not able to check the sufficiency of packing for each shipment in advance, therefore it is necessary for each client to make sure that all goods are packed well and protect so that it will not be a case of insufficient packing.

Is it okay to have only a few items insured?

No, you need to have all items shipped insured.

I already have travelers insurance which will protect the luggage in case items are damaged or lost. Would it be okay to use this insurance instead of buying insurance from your company?

Firstly, please make sure that your travel insurance covers the loss/damage for unaccompanied personal effects. We would recommend you check this point very carefully as most travel insurances do not cover loss/damage of unaccompanied personal effects. If you check the terms and conditions of travel insurance of some well-known insurance companies on the internet,you will notice that all of them clearly state that they are not covered. They cover only accompanied luggage. Most well-known insurance companies’ terms and conditions state that personal effects shipped under any freight agreement, or items sent by postal or courier service are *exclusions* of insurance coverage. From our experience,we are aware that there are some insurance which cover loss/damage of unaccompanied personal effects, such as special insurance for high net individuals. The insurance premium for such insurance is extremely high and this is an extremely rare case.

What sort of values are accepted for the insurance?

Declared value accepted by both customs office and the insurance company is used value or so-called fair market value. The term "time value" is also used to refer to such values and these are the values that are accepted. i.e. depreciation shall be taken into consideration in declaring the value. When an insurance claim is made, the insurance company (or its agent ) will determine the amount to be paid based on the survey report from the surveyor. It does not necessarily mean that whatever values declared on the packing list will be paid even if the application itself has been accepted.

I have an item which does not really worth anything if I sell but it means a great deal to me. Can I declare a high value for it?

Please note sentimental values of items will not be taken into consideration and insurance companies will not compensate for items at the declared value even if high value is declared.

What about painting and other works of art? I have a really good painting. Would it be okay to declare a value based on some estimated price?

It is often difficult to evaluate the value of pieces of art. It might be true that some of them may go for the price of over a million or even a few million yen and especially the artists who made the works would try to stress the point that they worth millions of yen. However, in the case where valuations may need to be made, the values of works of arts are not accepted unless they are officially indicated in “The Year Book of Japanese Art”. If you are an artist and make the object yourself, insurance will only cover the prices for the materials,but not the times you spent on making it as principally it is prohibited or the price it may go for if it was sold that one makes a profit as a result of damage/loss.