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Things To Consider When Purchasing Shipping Insurance - Honolulu Hawaii Shi Back to the top

Things To Consider When Purchasing Shipping Insurance

If you're shipping valuable items and are thinking about purchasing shipping insurance, here are some things to consider. This would ultimately depends on the value of the shipment and what your risk tolerance level is.

Already insured? Every package whether it be a letter, box pallet or crate is automatically insured for $100 under via an international law under IATA. USPS, UPS and FedEx offer declared value coverage, not insurance. This represents a carrier's maximum liability for that package in case it gets lost or damaged. So you have to declare the value of your package if it is more than $100. If you do not, the carrier's maximum liability is $100, even if the parcel is worth more. Each shipper allows for a certain maximum value that you can declare a package (depending of the type of shipment used)


Make sure you read the fine print and verify what is not covered. When shipping internationally, double check which destinations are not covered. Carriers also have conditions and guidelines on packing and they may not cover a package that is not packed properly.


In the event of a loss or damage, carriers will not automatically process a claim in the event that your package is lost, damaged or stolen so you will need to file a claim. Be sure to start it as soon as possible as carriers usually have a cutoff period for filing.


Lastly, make sure you have supporting documentation for any claim you file. Let your carrier know what you've shipped and the value of the package.

Contact us today if you have any questions on shipping insurance. With over 30 years experience in the shipping industry, you can trust Pack and Ship Hawaii to ship your items from any origin to any destination. Our DOT # is 2392707 and MC # is 820808.

Click here to learn more about our services and how we can help.


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