Moving Company Business Insurance

Movers can use Insuranceopedia to review business insurance policies from major providers. This platform makes it simple to locate the ideal coverage for general liability and property damage. It also helps you find the right protection for your employees.

Why Do Moving Companies Need Insurance?

Running a moving business involves significant physical risks. Your crew handles heavy furniture and boxes daily, which increases the chance of injury to employees or bystanders. Furthermore, you are responsible for transporting and storing personal property. If those items are damaged or lost due to unforeseen events, your company must have a way to reimburse the client.

Operating without the proper coverage leaves your business exposed to serious financial loss. If an accident occurs or a client sues you, your company would be personally responsible for paying out legal fees and settlement costs.

You also face liability risks regarding your workforce. The physical nature of moving can lead to severe accidents on the job. General liability insurance helps shield your business against these common claims, including property damage, bodily injury, and related lawsuits.

Beyond protection, insurance builds trust. Smart customers will ask for proof of insurance before they let you handle their possessions. Having a valid policy proves you are a legitimate professional. It allows you to work with confidence, knowing you are supported if an accident happens.

What Insurance Do Moving Companies Need?

Running a moving company requires a high level of trust. Clients are handing over their most prized possessions, so they need to know you are financially responsible. Furthermore, interstate movers must strictly follow FMCSA regulations regarding liability coverage. To keep your business safe and your reputation solid, you need a robust insurance strategy.

Here are the primary types of business insurance policies moving companies should secure.

Commercial Auto Insurance

Since your business relies on vehicles, this coverage is non-negotiable. Personal auto policies generally will not cover accidents that happen in a commercial vehicle like a box truck or van. This policy handles liability, injuries, and property damage if your driver causes a crash.

Example: Your driver is navigating a tight residential street and accidentally backs the moving truck into a parked car. Commercial auto insurance pays for the damage to the other vehicle.

Cargo Insurance

This is perhaps the most specific and critical policy for movers. It protects the client’s belongings while they are in your care, whether they are in transit on the highway or sitting in storage. It covers theft, loss, and damage to household goods.

Example: During a cross-country move, a strap breaks and several pieces of antique furniture fall and shatter inside the truck. Cargo insurance helps cover the cost of the damaged items, so the client is reimbursed.

General Liability Insurance

Think of this as your first line of defense against common lawsuits. It covers third-party bodily injury and property damage unrelated to the vehicle itself. If your business operations cause harm to a person or their property, this policy pays for legal fees and settlements.

Example: While carrying a sofa into a house, a mover accidentally scrapes a large gouge into the client’s hardwood floor. General liability pays for the floor repairs.

Workers’ Compensation Insurance

Moving is physically demanding work. The risk of back injuries, slips, and falls is high for your crew. This policy covers medical expenses, rehabilitation costs, and lost wages if an employee gets hurt on the job. Most states require this by law as soon as you hire staff.

Example: An employee suffers a herniated disc while trying to lift a heavy piano. Workers’ compensation covers their hospital bills and pays a portion of their wages while they recover at home.

Commercial Property Insurance

If your moving company owns a warehouse, an office, or a garage, you need to protect that physical space. This policy covers the building and its contents against perils like fire, storms, theft, and vandalism.

Example: A severe storm blows the roof off your dispatch office, causing water damage to the structure. Commercial property insurance pays to repair the building.

Umbrella Insurance

Sometimes a standard policy limit is just not enough. Umbrella insurance acts as a safety net that sits on top of your general liability and auto policies. If a massive lawsuit exceeds your primary policy limits, umbrella coverage pays the difference.

Example: One of your trucks causes a multi-car pileup on the highway. The lawsuit demands $1.5 million, but your auto policy only covers $1 million. Umbrella insurance covers the remaining $500,000, so you do not have to pay out of pocket.

Business Personal Property (BPP) Insurance

While commercial property covers the building, BPP covers the movable gear inside it or in your trucks. For a mover, this means dollies, packing blankets, ramps, office computers, and furniture. It pays to replace these items if they are stolen or destroyed.

Example: Burglars break into your warehouse overnight and steal all your hand trucks and packing supplies. BPP helps you replace the stolen equipment quickly.

Professional Liability Insurance

Also known as Errors and Omissions (E&O), this covers you if a client claims your service was negligent or that you failed to deliver on professional promises. It is vital that you offer logistics consulting or specialized packing services.

Example: A client claims your crew failed to pack their electronics according to the contract, resulting in damage. If they sue for negligence, professional liability insurance helps cover your legal defense.

Hired And Non-Owned Auto (HNOA) Insurance

Your employees might occasionally use their own cars or rented vehicles for business tasks. Personal insurance rarely covers these work-related trips. HNOA provides liability protection when vehicles not owned by the company are used for work.

Example: You send an office manager to buy office supplies in their personal sedan. On the way, they cause a fender bender. HNOA steps in to handle the liability claim against your business.

Business Owner’s Policy (BOP)

A BOP is a bundle that combines general liability and commercial property insurance. Insurance carriers often offer this at a lower rate than buying the policies separately. It is a cost-effective way to get broad protection for your office and operations.

Example: A fire in the breakroom destroys your office furniture and injures a delivery person. The BOP covers the property loss and the medical liability for the visitor.

Cyber Liability Insurance

Moving companies store sensitive data, including client addresses, phone numbers, and credit card details. This policy helps you recover from data breaches, cyberattacks, and hacking incidents. It covers legal fees, notification costs, and credit monitoring for affected customers.

Example: A hacker breaches your scheduling software and steals credit card information from past clients. Cyber liability insurance pays for the costs to notify clients and manage the legal fallout.

No two moving companies are exactly alike, but the risks are often similar. By mixing and matching these policies, you can create a safety net that protects your trucks, your crew, and your clients’ valuables. Whether you are a solo operator with one van or a large fleet owner, the right coverage ensures you stay in business for the long haul.

Cheapest Moving Company Commercial Auto Insurance

Progressive is cited as the most competitive option for commercial auto coverage in the moving industry, with entry-level policies starting at $8,590 annually for small fleets.

Note: Estimates are based on a single moving truck (e.g., a 16-26 ft box truck) with a clean driving record and standard liability limits ($1M combined single limit). Actual premiums will vary based on the vehicle’s weight class, radius of operation (local vs. interstate), and driver age.

Cheapest Moving Company General Liability Insurance

Nationwide offers some of the lowest rates for general liability coverage for movers, with average annual premiums starting around $1,032.

Note: Estimates are based on a standard $1 million per occurrence/$2 million aggregate policy for a small moving business with moderate revenue ($150k-$300k). Actual premiums will vary based on your state, deductible amount, and claims history.

Cheapest Moving Company Business Owner’s Policy

Nationwide generally provides the most affordable Business Owner’s Policy (bundling General Liability and Commercial Property), with costs averaging $1,560 per year.

Note: Estimates are based on a bundle including General Liability and Property coverage for office equipment and low-value storage. Actual premiums will vary based on the value of business property being insured, the age of the building, and location-specific risks (e.g., flood zones).

How Much Does Moving Company Insurance Cost?

Moving companies typically pay around $124 per month for general liability insurance. The actual cost of insurance depends on how large your business is and how long you have been operating. The scope of your work, such as handling local moves instead of cross-country trips, also impacts the price.

Insurers review several factors to calculate your rate. These include your location, your number of employees, and your history of past claims. They also consider your record-keeping habits and whether you transport high-value equipment.

The total cost is also affected by your coverage limits and policy bundles. While a cheap plan looks good, you need to select coverage that fully protects your business from potential accidents.

Note: These estimates are based on current market data for a standard small-to-medium-sized moving business (approximately $150,000–$500,000 in annual revenue) with a clean claims history and standard policy limits (e.g., $1 million per occurrence for General Liability). Actual premiums will vary significantly depending on your business’s specific location, number of employees, fleet size, deductible choices, and safety record.

How Is Your Moving Company Business Insurance Cost Calculated?

Insurance providers look at various risk factors to calculate the cost of your policy. The specific type of moving work you do is one of the most important details. Long interstate moves often lead to higher premiums than local jobs because the increased distance creates more risk.

Underwriters also review your past claims history. If you have filed insurance claims before, companies may consider you a higher risk. The total value of your trucks and whether you own or lease them will also affect the price. The specific coverage limits you pick matter as well. Even your business structure, such as being an LLC or a sole proprietor, can change your final rate.

Following these steps helps ensure you’re properly insured and set up to handle risks confidently and professionally.