All about INSURANCE and removals
Did You Know?
Currently under Australian law, furniture removal companies are not required to have insurance!
However Fragile Removals & Storage, like other AFRA members must hold current policies of Carriers Legal Liability Insurance, Public Liability Insurance, Third Party Property and Motor Vehicle Insurance for our own protection as part of membership requirements.
“We break it we fix it”
This is a statement / policy used by some removalists.
It is important to understand this is NOT an insurance policy.
The good thing about it is, If they break it, they MAY fix it.
But do you have guarantees they will fix it? And if they decide not to? What will you do?
Do they have a governing body you can turn to, that will make them pay? Or will you need to sped time, and money, settling in court?
You should always read the terms and conditions to make sure you understand the procedures the company will follow once a damage occurs.
Do they have an EXCESS fee for damage claims?
The Trade Practise Act (the constitution) FORBIDS limitation of liability buy a professional (Removalist)
So how can they charge an excess fee if they are obviously not offering an insurance policy?
The Trade Practise Act also states that a professional is liable for the damages caused by his negligence. It sound a bit like, “we break it we fix it”, doesn’t it?
These are obligation by law.
Who can offer insurance?
Not all removal companies can advise or arrange insurance cover, indemnity or protection; only a removal company that hold an AFS licence or are authorised registered representatives of a licensee.
On March 2004 a higher standard was imposed by law on businesses offering a financial service (insurance) in order to protect the customers whenever they deal with business such as Removal companies offering insurance, whether offered for ‘free’ or otherwise, this is regarded a ‘financial service’.
Every removal company that offer ‘financial advice’ or 'financial services' must hold an AFS licence
(Australian Financial Services) or be a registered authorised representative of a licensee. Those removalists will be registered with ASIC (Australian Securities and Investments Commission).
Only members of AFRA
As members of AFRA, Fragile Removals & Storage are authorised to arrange insurance and provide you with general advice regarding insurance for your upcoming removal or storage. We have the necessary documentation required by ASIC and have undertaken all the appropriate training.
If you require more information log into the Australian Securities and Investments Commission website www.asic.gov.au, under Financial Services on the homepage.
A little nervous about deciding which moving company you want and trust to move your precious belongings? The task can be easier said than done.