One of the biggest mistakes people make isn’t buying the wrong insurance—it’s buying too little.
When preparing for aliyah, it’s easy to focus on shipping costs and forget about the value of everything inside the shipment. After all, you’ve owned many of these items for years. Your dining table, couch, dishes, clothing, electronics, and books may not feel expensive because you didn’t buy them yesterday.
Unfortunately, marine insurance doesn’t care what you paid ten years ago.
The question is:
What would it cost to replace these items in Israel if they were completely lost?
That’s the number you should insure.
Don’t Make the Mistake of Being Underinsured
Many families estimate the value of their shipment based on what they originally paid—or worse, what they think the items are worth today.
That often results in a shipment being insured for only 50–70% of its actual replacement value.
If your shipment is significantly underinsured, you may not receive enough compensation to replace your belongings after a major loss. Instead of receiving enough money to replace everything, you could find yourself tens of thousands of dollars short.
Marine insurance is designed to put you back where you started—not leave you rebuilding your household out of pocket.
Replacement Costs in Israel Are Often Higher
Many everyday household items cost noticeably more in Israel than they do in the United States.
Typical differences include:
- Furniture: 20–60% higher
- Televisions and electronics: 10–40% higher
- Mattresses: 20–50% higher
- Kitchenware and cookware: 15–40% higher
- Small appliances: 15–40% higher
- Office furniture: 20–50% higher
- Children’s furniture: 20–50% higher
- Home décor: 20–60% higher
- Rugs: 20–50% higher
Prices vary depending on the brand, quality, exchange rates, and local availability, but most new olim are surprised by how expensive it is to replace an entire household.
When calculating insurance, think about today’s replacement cost in Israel, not what you originally paid.
What About Sentimental Value?
Some possessions are priceless to you—but unfortunately, insurance cannot compensate for sentimental value.
Your grandmother’s dining table, your wedding china, family photo albums, or a child’s handmade keepsake may be emotionally irreplaceable.
For insurance purposes, however, they should still be insured based on what it would cost to replace them with an equivalent item, not what they mean to your family.
If you’d like to learn more, read: Sentimental Value and Marine Insurance: They’re Not the Same Thing
Valuable Items May Require an Appraisal
Most marine insurance policies require documentation for unusually valuable individual items.
As a general guideline, if a single item is worth more than $1,000, it is wise—and often necessary—to obtain a professional appraisal before shipping.
This commonly includes:
- Fine art
- Paintings
- Sculptures
- Antiques
- Jewelry
- Collectibles
- Rare books
- High-end musical instruments
- Designer furniture
- Valuable oriental rugs
An appraisal helps establish the item’s value before shipment and can greatly simplify the claims process should damage occur.
Learn more here: When Do I Need an Appraisal?
