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Full replacement value will soon apply to personal property shipments

By Robert Goetz | 12th Flying Training Wing Public Affairs | Sept. 21, 2007

RANDOLPH AIR FORCE BASE, Texas — Servicemembers and Department of Defense civilians who require a government-funded move will soon be eligible for full replacement value on most personal property shipments. 

FRV coverage will apply to personal property shipments with a pickup date on or after Oct. 1 for international shipments to and from destinations outside the continental United States, Nov. 1 for domestic shipments within CONUS and March 1 for non-temporary storage shipments and for local moves and direct procurement method shipments. 

"This is a beneficial entitlement that will assist the member if he or she has any loss or damage to their personal property during shipment," said Tracy Kreusler, 12th Logistics Readiness Division's Transportation Management Flight supervisory transportation assistant, whose office is now arranging personal property moves for October. 

Under the FRV program, the Transportation Service Provider is liable for the greater of $5,000 per shipment or $4 multiplied by the net weight of the shipment in pounds, up to $50,000. 

However, providing prompt notice of loss and damage will still be essential, Ms. Kreusler said. 

"The customer must submit DD Form 1840, which lists all damage discovered at delivery, or DD Form 1840R, which lists all damage found after delivery, to the TSP within 75 days of delivery," she said. "The TSP has the right to inspect the damaged items once the notice forms are received." 

FRV coverage requires no additional cost, but the customer must file the claim directly with the TSP within nine months of delivery by using DD Form 1844. The TSP will settle the claim by repairing or paying to repair damaged items. 

"The TSP will pay FRV cost on items that need replacing or have been lost or destroyed," Ms. Kreusler said. "When the claim is filed directly with the TSP, they will be responsible for obtaining all repair and replacement costs." 

If the customer files a claim with the TSP after nine months but before the two-year time limit for filing, the TSP is only liable for depreciated value of lost or damaged items. 

According to Ms. Kreusler, if the TSP denies the full claim, makes an unacceptable offer or does not respond within 30 days, the customer has recourse - transferring the claim to the Military Claims Office within 90 days of delivery. But if the customer transfers the claim, the MCO will only be responsible for depreciated replacement cost on the claims. Then the MCO will try to recover full replacement value from the TSP and pay the customer the difference between the depreciated cost already paid and the FRV cost. 

Guidelines governing FRV coverage can be found on the Military Surface Deployment and Distribution Command Web site, www.sddc.army.mil. More information is also available on the Military Claims Office Web page at https://claims.jag.af.mil.