Insurance and Liability: What Removalists Melbourne Recommend You Understand Before Moving
Even with the most careful handling, accidents can still occur during a move, resulting in a scratched floor, a dented fridge, or a dropped box of fragile items. Now, the question is, who’s responsible when they happen? The answer lies in insurance and liability.
So, before hiring removalists in Melbourne, it’s essential to know how coverage works, what your mover is actually liable for, and where your own insurance might need to fill the gaps. Even a small misunderstanding in this context can leave you unexpectedly out of pocket, even if the damage wasn’t your fault.
In this guide, we’ll unpack the essentials of moving insurance and liability, including what’s covered, what’s not, and how to protect your belongings before the truck leaves your driveway.
The Basics of Insurance & Liability Matter in a Melbourne Move
What does “fully insured” mean?
Many Melbourne removalists describe themselves as “fully insured”, but this phrase doesn’t always mean what customers assume. In most cases, it refers to a combination of public liability insurance and transit insurance, not full coverage for every possible event.
Here’s what these coverages mean:
- Public Liability Insurance covers injury or damage to third-party property. It does not cover damage to your personal goods. Most professional movers carry this as a standard, and it’s a requirement for members of the Australian Furniture Removers Association (AFRA).
- Transit Insurance, sometimes called carrier’s liability, covers your belongings against loss, theft, or damage while in transit. However, the protection often applies only during transport and may exclude loading, unloading, or storage unless clearly stated.
- Customer Goods or Optional Add-On Cover offers broader protection for instance, against accidental scratches, handling damage, or loss of fragile or high-value items. These are typically separate policies customers can purchase for extra peace of mind.
So when a removalist claims to be “fully insured,” it’s important to ask what kind of insurance they actually have and what exclusions apply.
Consumer protections under Victorian law
Even if your removalist’s insurance doesn’t cover every situation, you’re not without protection.
In Victoria, the Australian Consumer Law (ACL), which is enforced locally by Consumer Affairs Victoria (CAV), safeguards your consumer rights.
Under Section 60 of the ACL, all service providers, including removalists Melbourne, must perform their services with due care and skill. This means they are legally required to handle your goods competently and take reasonable steps to avoid damage or loss. If they fail to do so, this can be treated as negligence, giving you the right to seek compensation or other remedies.
Should you find yourself in a dispute, Consumer Affairs Victoria provides a free conciliation service to help consumers and removalists resolve the situation without the need for formal legal action.
It’s also worth noting that while there is no legal requirement for Victorian removalists to carry specific types of insurance, they remain liable if damage occurs through negligence, even if their policy limits what they can pay out.
Industry standards and accreditation
While not mandatory, some Melbourne removalists voluntarily align with the Australian Furniture Removers Association (AFRA). AFRA-accredited members are required to hold comprehensive insurance coverage, including public liability (often up to $10 million), carrier’s legal liability, third-party property, and motor vehicle insurance.
They also typically provide or arrange goods-in-transit insurance through authorised insurers.
How Do Removalists Melbourne Handle Liability
Below is what you should expect from reputable Melbourne removalists, and what to watch for when you’re booking.
What liability do most Melbourne removalists carry
Reputable removalists commonly include public liability and basic transit (goods-in-transit) protection in their standard pricing.
- Public liability: Public liability typically covers injury or damage to third parties. While it protects against legal exposure, it doesn’t cover your possessions. Limits commonly sit between $5 million and $20 million.
- Basic transit liability: Standard transit caps vary by provider and package, but often fall in the $10,000–$50,000 range. Policies usually include an excess (commonly $500–$2,000), which is the amount you must contribute toward any claim.
Why price often equals coverage (and risk)
When comparing quotes, price and protection are closely linked. Lower-cost movers frequently offer limited or minimal transit cover, lower caps, higher excesses, or exclude certain types of damage. They may also rely on casual labour rather than trained crews, which increases handling risk.
On the other hand, professional providers like Jake Move with higher quotes usually factor more comprehensive transit limits, stronger operational controls, and optional add-on cover for fragile or high-value items.
To ensure your items are truly in reliable hands, always compare the coverage details, not just the headline price.
When does liability shift to you as the customer
Removalists commonly exclude liability for damage inside owner-packed boxes unless negligence by the crew is proven. Examples include crushed or waterlogged contents in poorly packed cartons, or damage to electronics that weren’t boxed or padded correctly.
To protect yourself, either use professional packing services for fragile or high-value items or follow a strict packing checklist and document the condition of items before handover.
How to verify a mover’s coverage (what to ask for)
A transparent removalist will supply documentary proof without hesitation. Ask for:
- A current Certificate of Currency showing public liability limits and policy expiry.
- Details (or a copy) of the goods-in-transit coverage, including caps and any exclusions.
- A Product Disclosure Statement (PDS) if the mover offers optional insurance products through a broker or insurer.
- Business verification, such as ABN and insurer contact details, so you (or your insurer) can confirm coverage.
Protect Your Move: Choose a Removalist You Can Trust
In an industry where “fully insured” can mean many things, the difference lies in working with movers who treat your possessions with care and accountability. Choosing a reputable removalist in Melbourne like Jake Move ensures every stage of your move is backed by professional standards, transparent coverage, and a team that takes full responsibility for its work.
At Jake Removals, we delivers fully insured, reliable moving services built on trust and experience. Every job is handled by trained professionals who prioritise safety, efficiency, and customer assurance.
Move the best way with Jake Move! Book with us now!
