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What Is Shipping Insurance?

Offered by most shipping companies, shipping insurance is a service that reimburses shippers for the cost or repair or replacement of shipped items that are damaged or lost while in the shipping firm's possession. All major companies that provide shipping services to the general public, including USPS, FedEx, and UPS, also offer insurance on those shipments. They generally offer a basic level of insurance, usually $50 or $100, for free, and offer additional amounts for a one-time premium.

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Purchasing Insurance is Easy

Request shipping insurance from your shipping provider by completing the appropriate section of the shipping form, declaring the value of the item being shipped and specifically requesting insurance. The cost of insurance should be a fraction of the object’s value.

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