Property In Transit
The University’s insurance program offers coverage for property losses within the United States. Equipment and supplies, transported by various modes of transportation, are covered for “all risks” except as specifically excluded (i.e., property is covered for losses from any cause unless that cause is specifically listed as an exclusion) while being transported within the U.S.
Certain types of property in transit, especially electronic devices, are targets for theft. If your department is transporting very expensive items (over $2,000), please notify Risk Management to assure the proper coverage amount.
If a moving company is used for a departmental move and damage occurs, procedures may require that a claim first be submitted to the moving company’s insurance. If denied, a claim may be submitted to University insurance, but must include the mover’s insurance company’s written, detailed explanation of their denial of coverage. Contact your move coordinator for your move’s specific procedures.
- Transit property insurance has replacement cost coverage subject to a $2,000 deductible per covered loss. The $2,000 deductible is the responsibility of the applicable University department.
- Since there is a $2,000 deductible we recommend University departments purchase property insurance with the preferred shipping company up to that $2,000 amount.
- Transit Insurance covers University owned property shipped by auto or air such as UPS, FedEx, etc. but not the U.S. Postal Service unless the property is shipped by Registered mail (due to cost not recommended).
We Recommend . . .
University departments not accept responsibility for property insurance coverage and/or liability for property (goods) until we actually receive the property and it is within our care, custody and control, unless absolutely necessary. Doing otherwise can hold us responsible for property before we have received it. Normally, the owner of the property should be responsible for their property until its possession is transferred to the University. Should any questions arise about who should be responsible for this property prior to our receipt, please contact our RMI Office.
Before arranging any transit shipment abroad that would use a boat/ship conveyance, contact our Risk Management and Insurance Office first. There are specific insurance policy conditions and terms that need to be reviewed before insurance coverage can be confirmed.
Transit coverage for non-owned (borrowed or loaned) property.
Non-owned University property (borrowed or loaned) while within the care, custody or control of the University, including rental property, can be insured for transit insurance coverage with the following guidelines:
Non-owned University property can only be insured if it is mutually agreed to in writing by the owner of the property and the University. See Non-owned/Loaned Property Agreement Form.
Non-owned University property for transit coverage must first be reported to our RM&I office, and separately scheduled for insurance coverage. We need to know the following information:
- Receipt of the written agreement or contract requiring the University to insure the property in transit.
- The general description of the property
- The replacement cost value of the non-owned property
- The dates of transit
- The name, address and phone number of the party receiving the transit shipment.