Transit Insurance — Are You Covered?
Transporting goods interstate in Australia isn’t just hitting the road—it’s navigating through inherent risks like potholes, rough surfaces, theft, fire, and natural events. While we pride ourselves on the utmost care, insurance remains your safety net. Here's why:
The Risks Are Real
- Australian roads are in constant repair, and trucks endure thousands of kilometers, traversing uneven ground that can jostle and stress even well-packed belongings.
- Transit events—like vehicle collision, overturning, theft, fire, flood, and vandalism—can happen without warning, even to the most cautious removalist team.
What Transit Insurance Actually Covers
Transit insurance (also called “goods in transit”) offers protection from the time goods are loaded until delivery. Coverage may include:
- Accidental damage during loading, unloading, or in transit
- Vehicle collision or overturning
- Theft or vandalism, provided goods are reasonably secured
- Natural events like flood, fire, hail, and storms
- Loss or non-delivery
- Incidental costs, such as temporary accommodation or short-term storage (depending on policy)
Note: Coverage terms differ significantly—some insurers exclude loading/unloading mishaps, storage drop-offs, or certain high-value items. Always check your Product Disclosure Statement (PDS) and Financial Services Guide (FSG).
Types of Transit Insurance in Australia
1. Removalist Transit Insurance
AFRA-accredited removalists are required to have public liability insurance, motor vehicle insurance, third-party property insurance, and carrier’s legal liability insurance. Many also offer goods-in-transit insurance top-ups—but only if they’ve completed FSRA training. If your removalist offers this, you should be given a full PDS and FSG.
Source: AFRA – Moving Insurance Info
2. Home & Contents Insurance
Your existing insurer may already offer limited cover for transit, typically covering fire, flood, or theft—but usually excluding breakages, loading damage, or in-transit mishandling. Always confirm directly with your insurer before your move.
3. Standalone Transit Insurance
If your home insurance doesn’t include full cover, standalone transit insurance from a licensed broker or insurance company may be a better fit. These policies are designed specifically for removals, with flexible options based on value, risk level, and type of transport.
Why This Matters
Liability Isn’t Enough
Legal liability insurance covers loss or damage caused by negligence. That means if your goods are damaged due to road conditions, accidents, or force majeure—not deliberate negligence—you may receive no compensation.
Underinsurance Is Common
Many people assume they’re covered, but standard removalist liability often excludes key scenarios. Similarly, home and contents insurance rarely covers accidents that happen during the physical move.
Peace of Mind = Less Stress
Australia’s terrain is unpredictable. Insurance gives peace of mind that, even if the worst happens, you won’t be financially responsible for the damage.
How to Ensure You're Covered — Friendly Checklist
- Ask your removalist if they are licensed and FSRA-qualified to offer insurance (they must provide a PDS/FSG).
- Confirm your home & contents insurer includes or excludes transit damage.
- Consider standalone insurance if moving long distance or transporting high-value items.
- Ensure coverage includes loading, transit, and unloading.
- Review exclusions—some policies don’t cover antiques, electronics, jewellery, or self-packed goods.
- Document your items: photos, inventory, proof of value, and packaging.
AFRA’s Role in Transit Insurance
AFRA (Australian Furniture Removers Association) ensures members maintain proper insurances including public liability and carrier’s liability. Only FSRA-compliant members may legally offer insurance to clients. For your protection, AFRA recommends always reviewing your mover’s insurance offering before booking.
View their advice here: AFRA Moving Insurance Guide
Practical Example Scenarios
Scenario 1: Standard Interstate Home Move
You’re covered for fire and theft through home insurance—but not for bumps, drops, or in-transit knocks. Solution: Get standalone insurance with “All Risk” coverage for complete protection.
Scenario 2: High-Value Fragile Goods
Moving valuable electronics, antiques or instruments? These aren’t always included in default transit policies. You’ll need to declare them and request scheduled cover or all-risk insurance.
Scenario 3: Storage Between Pickup and Delivery
Planning a two-stage move with storage in between? Ensure your cover includes items in storage, not just during transit. Some insurers treat stored goods as separate risks.
Claim Triggers & Process
- Report issues immediately upon discovery.
- Provide supporting documentation—photos, inventory, damage reports.
- Follow the policy’s required process (time limits, assessment, forms).
- Pay any excess and wait for approval or compensation based on your agreed value.
Check With Us First
At The Backloading Company, all of our trucks carry Transit Insurance that protects your goods against fire, flood, theft, and collision/overturning of the vehicle. This coverage applies to the contents *only* in the event of those specific incidents.
Because we are not licensed insurance brokers, we cannot offer “All Risk” insurance—which protects against accidental breakage and mishandling. We strongly recommend checking your home insurer, or a licensed provider, to see what they can offer.
Before you move, check with us to confirm the exact cover provided for your move—we’re happy to clarify what’s included and help you plan accordingly.
Final Word
Transit insurance isn’t optional—it’s essential. Accidents happen even with the best movers and the sturdiest boxes. If you want peace of mind, make sure you’re insured for every part of the journey: from your front door to your final destination.
If you're unsure about what's covered or what you might need, talk to us today. We’ll explain everything clearly and help you make an informed decision. Your peace of mind is worth it.