If your business relies on shipping products for business success, then considering shipping insurance is necessary. Online businesses are shipping numerous products every single day. Some businesses may not necessarily be sending out several packages per day, but still have to send crucial shipments to recipients. Having packages arrive damaged or not arrive at all can be detrimental for a business. And without insurance, you are forced to pay the price for a damaged or lost product. But with insurance, your business can be refunded if something were to happen to a package. However, insurance can be a little tricky. For example, fedex insurance can be purchased for an additional cost, but there may be limits and restrictions on certain products you ship. It’s important to know what kind of coverage you are getting when purchasing fedex insurance and what coverage you aren’t getting. That way, your business won’t suffer the consequences of high value packages that are damaged or lost.
Why shipping insurance?
Although we expect the items we ship to arrive on time and in perfect condition, shipping carriers don’t guarantee that. That is why fedex insurance is offered when you go to ship a package. When you know what you are shipping has immense value, then it’s risky to not get insurance coverage for it. Of course it’s nice to save the couple of bucks that you would spend on insurance. But in the case that your valuable package got damaged, you will be very sad to not have spent the few extra dollars for coverage. For businesses that rely on shipping products every single day, getting coverage for your products is crucial. Especially when you are working with customers, high stakes clients, and other business partners, you have to be sure your shipments are covered in the event something would happen. Without it, you’re taking a chance on something that can decide the fate of your business.
What Fedex covers
Fedex insurance does cover the majority of packages under their care. You automatically get $100 of insurance included with your shipment. To get more coverage, you first have to declare the value of the package you are shipping. Using fedex Same Day or Same Day City will only allow you to declare a maximum value of $2,000 for fedex insurance. The $2,000 covers everything in the shipment. So if you put high priced items together in one shipment, you can still only declare a maximum value of $2,000.With higher priced items, it might be worth shipping them separately to get the full coverage you need. When using US Express Package Service, US Ground Service, or International Service, there is no maximum declared value for coverage. For Direct Signature Confirmation service, there also is no maximum. But, there is a minimum value of $500 in order for there to be no extra cost to cover the shipment. Fedex will then require a signature of the recipient when delivered.
What Fedex doesn’t cover
There are things that fedex doesn’t cover. First, claims must be made in a certain amount of days. Fedex Express requires claims in 60 days. International claims must be made within 21 days. And Fedex Ground claims must be made within nine months for damage and 60 days if lost. If you don’t file a claim within these limits, they do not cover your shipments. When shipping items valued over $2,000, Fedex will only cover up to a certain point, Some items may only receive $1,000 of coverage. When shipping items with high value, it’s vital to read fedex’s rules for coverage prior to shipping.
Getting complete coverage
Just because you may ship high value items, doesn’t mean you can’t get the coverage you need. There are other insurance coverage options for valuable shipments offered through third party services. These services partner with your typical carriers in order to provide the shipping insurance necessary for businesses. Businesses that have items that exceed the maximum $2,000 value may want to consider the alternative options for shipping insurance. The third party services offer reasonable insurance options that businesses can use for peace of mind when shipping expensive packages. Depending on what your needs are for your business, it’s good to consider your options and how shipping insurance can positively impact your business.
Take care of your shipments
Many businesses rely on shipments in order for their business to operate. If a shipment gets damaged or lost, it could be detrimental for them. That is why shipping insurance is available when you go to ship a package. Fedex offers insurance coverage up to a certain point. Past that point, you must look at alternative options for high value shipments. Regardless of the value of the items you ship, you can get the insurance coverage you need for your business to succeed.