Understanding the Bill of Lading

One of the most crucial documents to ensure that you have, and have thoroughly understood when moving home, is the Bill of Lading.

Whether you are moving locally or across the country, understanding the Bill of Lading is essential to ensure that your move goes smoothly and without unexpected problems.

In this blog post, we’ll explain what a Bill of Lading is, why it’s so important, what details it contains, and what you should look out for before signing it.

What is a Bill of Lading?

A Bill of Lading (BOL) is a legal document that is a contract between you and the moving company.

It details the services that the moving company agrees to provide, the costs associated with the move, and the conditions under which your belongings will be transported.

Essentially, it’s a receipt and a contract rolled into one, outlining the responsibilities of both the mover and the customer.

The Bill of Lading is crucial because it formalizes the entire moving process, protecting both you and the moving company in case any issues arise, such as loss or damage to your items, delays, or disputes over the final charges.

And we cannot stress this enough. Read and fully understand the BOL. It must state exactly what you agreed with the salesperson, often it does not.

If you miss some vital information or misunderstand delivery windows for example, then you will only have yourself to blame.

If something is not written on this document then it was never said and never agreed to.

You may also like to read: Understanding the Moving Companies Paperwork. When handing over all your worldly possessions to people you have never met before it is worth knowing exactly what all the paperwork they give you means and can prevent misunderstandings and even scams.

Types of Bills of Lading When Moving

There are two main types of Bills of Lading you might encounter during a move:

Non-Negotiable Bill of Lading

This is the most common type used in home moves.

This document is fixed and not open to changes or negotiations after signing.

It essentially lays down the exact terms and charges for the move.

Negotiable Bill of Lading

This is less common in home moves but may be encountered in complex or international relocations.

This document allows for certain terms to be changed or assigned before the contract is finalized.

For most homeowners, the non-negotiable Bill of Lading is the primary document to pay attention to.

What’s Listed On a Bill of Lading?

While each moving company may have its own format for the Bill of Lading, there are some key elements that are consistently included.

Here’s a breakdown of what you should find on a Bill of Lading when moving home:

1. Basic Information

Names and Contact Information

Your name and the name of the moving company should be clearly listed, along with relevant contact details such as phone numbers and email addresses.

Double-check these to ensure there are no errors and test the contact numbers and email. Needing to get hold of the mover on moving day and finding out the contact details are wrong would be a nightmare.

Pick-up and Delivery Addresses

The Bill of Lading will specify the addresses where the moving company will pick up your belongings and deliver them.

Confirm these details carefully, as mistakes here can lead to logistical nightmares.

2. Inventory of Items

List of Items

Some Bills of Lading will include a comprehensive inventory list or an additional attachment that lists all the items being moved.

While some companies prefer using a separate document called an “Inventory Sheet,” ensure that your Bill of Lading references this list.

Special Items

This section may also include information about particularly fragile, high-value, or oversized items that require special handling.

If you have valuable items like antiques, electronics, or art, make sure they are clearly listed with adequate details.

3. Services Provided

Type of Move

Whether it’s a local, long-distance, or international move will be clearly indicated. This can impact costs and delivery times.

Additional Services

Moving companies may provide additional services such as packing, unpacking, disassembly/reassembly of furniture, storage, or transportation of specialty items (like pianos or large electronics).

These services should be detailed in the Bill of Lading, along with their associated costs.

4. Costs and Payments

Estimated vs. Actual Costs

One of the most important aspects of the Bill of Lading is the section that outlines the cost of the move.

Binding Estimate

This is a fixed price that won’t change unless you request additional services after the estimate.

Avoid making any changes to your inventory or requesting additional services, often the quote can change dramatically if you do so.

Non-Binding Estimate

This is an estimate that can change based on the final weight or volume of your belongings.

Payment Terms

The Bill of Lading will specify how and when payment is expected.

Some companies require a deposit upfront, while others expect payment upon delivery.

Be sure to understand the terms and method of payment before signing.

5. Insurance and Liability

Valuation Coverage

Moving companies are required to offer two types of coverage for your belongings and it is essential that you understand the difference.

Being underinsured is one of the most common home moving mistakes.

Released Value Protection

This is the default and typically covers only 60 cents per pound of your items, regardless of their actual value.

Full Value Protection

This option costs extra but offers more comprehensive protection, reimbursing you for the actual value of lost or damaged items.

Liability Limits

The Bill of Lading will outline the mover’s liability for your items based on the chosen valuation coverage.

This section is vital if you have expensive or irreplaceable belongings.

It is also worth mentioning that many insurance policies will not cover things that you have packed yourself so check that clause very carefully. 

You may also like to read: Home Moving Insurance. In this guide, we explore the subject of home moving insurance in far more depth. Being underinsured is one of the most common home moving mistakes so this is essential reading.

6. Delivery Window and Dates

Pick-up and Delivery Dates

The document will specify when the moving company is expected to pick up and deliver your belongings.

Pay special attention to these dates, especially if there are specific deadlines you need to meet. Often what the salesperson agreed to verbally can be totally different from what is written in your Bill of Lading.

Delivery Window

Some Bills of Lading will give a window of several days for delivery, which is common for long-distance moves.

Make sure you understand the estimated timeframe and have a contingency plan in case of delays.

7. Signatures

Signatures of Both Parties

The Bill of Lading will be signed by both you and the representative of the moving company, indicating that both parties agree to the terms outlined in the document.

Be sure to receive a copy for your own records.

You may also like to read: 10 Common Mistakes When Hiring Movers. In this guide, we show you the 10 most common mistakes people make when hiring movers.

What to Look Out for Before Signing

A Bill of Lading is a legally binding contract, so it’s critical to read it carefully and understand everything before signing.

Here are some common red flags and issues to watch out for:

1. Incomplete or Missing Information

Ensure that all sections of the Bill of Lading are filled out completely. Missing or incomplete information can create confusion or disputes later on.

2. Hidden or Additional Fees

Look for any charges that may not have been discussed initially.

Moving companies sometimes include extra fees for stairs, long carry distances, or oversized items.

If these fees aren’t disclosed in the estimate, ask for clarification.

3. Delivery Time Guarantees

Some companies may promise specific delivery dates verbally but include a much larger delivery window in the Bill of Lading.

Make sure any promises made by the mover are written into the contract.

4. Valuation Coverage Details

Be cautious about the default released value protection, as it offers very minimal coverage.

If you want more protection, make sure full value coverage is included and clearly outlined in the document.

5. Alterations After Signing

Once you sign the Bill of Lading, the terms are set. If any changes are made after signing, they need to be documented in writing and signed by both parties.

Try and avoid making any changes if you can.

You may also like to read: How to Avoid Moving Scams. In this guide, we explain how moving scams work and how you can avoid them.

Why a Bill of Lading is so Important

The Bill of Lading is a vital document during the moving process that protects both you and the moving company.

It outlines everything from the services provided to the costs, the items being transported, and your insurance coverage.

Reading it carefully and asking questions about anything unclear can save you from unexpected charges or disputes later on.

When you move home, staying informed and vigilant about the paperwork is just as important as packing your boxes.

The Bill of Lading is your key to a smooth, transparent, and hassle-free move but a quick glance through the reviews on this site will show just how many people fail to read the BOL properly.

Remember that this document is a contract, ensure you understand it fully.

Just like any contract it can protect you, but can also be used by the company to hide behind, so be extremely vigilant.

Be sure to visit our home moving blog which is packed with useful information to make your home move safer, easier, and cheaper.

Good luck with your move!