Shipping Insurance Question

forthe4unofit · February 11, 2011 11:16PM

How do you guys handle shipping insurance with your customers? Do you just back the cost into the shipping price, or do you give them the option to pay additional for insurance? Or, do you feel obligated to pay out of your own pocket to insure an item you're sending. Thoughts?

jay0791 · February 12, 2011 1:17AM

Since the cost of shipping (insurance included) is part of the ebay rating system you need to be carefull or recieve a low rating.
Its a no win situation.

Most items I pack very well so they can't break and then pay for del confirmation. That way you are only protecting against the PO stealing the item.

If I insure something I charge exact price or lower and state that in the listing. That way bidder can feel more comfortable buying.

Just make sure you know the paypal rules and get signature confirmation for items over $250

Seller is not obligated to provide insurance. Just get the item there in condition sent.

Seller cannot just add insurance separately. It must be added into the overall shipping costs.

Paying for insurance only makes the PO rich and nothing else for lower priced items (below $100) IMO.

CrazyMind2017 · February 12, 2011 2:36AM

<< <i>Seller cannot just add insurance separately. It must be added into the overall shipping costs. >>

Technically true, but a seller can always use calculated shipping rates and include the exact cost of insurance as the "handling fee," and then state in the description that "Exact shipping plus insurance rates will be charged, not a penny more; I am not making any profit on shipping and handling."

The only problem, if you want to call it that, would be if bidding on the item goes higher than expected and a higher level of insurance is required. In such cases, it's a nice problem for a seller to have, and for someone who routinely charges exact shipping, it should be more than tolerable to pay out of pocket for the higher insurance rate. For fixed price listings, this will never be an issue, and it's still possible to use calculated shipping.

forthe4unofit · February 12, 2011 4:55AM

Thanks guys. I just had a nightmare case with UPS shipping a picture frame and thankfully I had purchased the insurance. So now I feel obligated to insure all my items at my own expense. Just was wondering. Thanks again!

JMDVM · February 13, 2011 10:36AM

I insurance everything because it protects against loss or damage, and you can use it to track. It makes delivery confirmation unnecessary. Everyone thinks that delivery confirmation is a means to track but it is not, it only tells you if the item arrives. I sent a letter with a check once with delivery confirmation. It was lost for 2 weeks and nobody could tell me where it was. If you have a general idea what your item will sell for, you can arrive at a reasonable guesstimate for shipping and insurance. However, no matter how accurate you are with your shipping costs, buyers will never be happy.

WinPitcher · February 14, 2011 4:07AM

Copy and paste this into your browser, this USPS site will tell you where your parcel is every step of the way.

http://www.google.com/url?sa=t&source=web&cd=1&sqi=2&ved=0CBcQFjAA&url=http://www.usps.com/shipping/trackandconfirm.htm&rct=j&q=usps tracking service&ei=OotZTfD0ENPAtgfm8_z1DA&usg=AFQjCNEv1CwSFKgZeBsXQphuoxjLAad0WQ&sig2=jQuShx4Pl0R5gFlAq5AM2Q

metsfan · February 16, 2011 1:38AM

<< <i>I insurance everything because it protects against loss or damage, and you can use it to track. It makes delivery confirmation unnecessary. Everyone thinks that delivery confirmation is a means to track but it is not, it only tells you if the item arrives. I sent a letter with a check once with delivery confirmation. It was lost for 2 weeks and nobody could tell me where it was. If you have a general idea what your item will sell for, you can arrive at a reasonable guesstimate for shipping and insurance. However, no matter how accurate you are with your shipping costs, buyers will never be happy. >>

If you want to follow Ebay guidelines, you must use DC. I don't think Ebay uses your insurance # to track your package? I could be wrong about that, I just started selling again after over 2 years off.

Mickey71 · February 16, 2011 1:52AM

JMDVM,
If we followed your advice with no DC we would lose alot of money. There's the right and common sense way and then there's the PAYPAL compliance way. If it is an expensive item $250 plus you need Sig Con and insurance to be completely covered as the little insurance form is not online viewable. Under $250 you need DC and could also insure.

Mickey71

JMDVM · February 16, 2011 7:09AM

Hi Dan, I hear what your saying about following the rules of Ebay/ Paypal as crazy as they are, but I was only pointing out that you can find the location of a lost insured package when it is scanned in to the wrong post office, but you can't with a lost package with only delivery confirmation. Paypal may yank the funds but at least you can file a claim and get your money back from the PO. Does any one know why Ebay/Paypal won't accept the tracking from insurance and insist on DC?

Mickey71 · February 16, 2011 7:29AM

It's not online viewable by the folks at PAYPAL.

JMDVM · February 16, 2011 2:43PM

That makes sense.Only the PO can view it.

WinPitcher · February 16, 2011 3:37PM

<< <i>Does any one know why Ebay/Paypal won't accept the tracking from insurance and insist on DC? >>

Because it's viewable online every step of the way. (DC)

Mickey I assume, was saying the insurance is not viewable because:

The blue insurance form is NOT viewable online by anyone other than the PO.

IMO one needs insurance and electronic signature confirmation to be covered if an item is over 249.99.

Steve

Shipping Insurance Question

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