Shipping out an important package, especially when it contains something of value, can feel stressful. You want to ensure it not only arrives promptly but also that the package isn’t damaged in any way. Exerting trust and trust alone is likely not your best option.
Whether you’re shipping a package for personal or business reasons, alleviate your stress with an extra layer of protection to put your mind at ease if your package is damaged, lost, or stolen. One of the best options out there for secure shipping is FedEx Insurance. Read on to learn how this service ensures safe and secure delivery and protection of your package.
Standard FedEx Insurance
FedEx offers standard insurance on packages of $100, which is at no additional cost to you. The $100 insurance is provided to offset the cost if your package is stolen, lost, or damaged. If the value of your package is less than $100, you won’t require the purchase of additional insurance. However, if the value is higher, it’s worth it to invest in additional insurance to cover any costs of the potential loss.
FedEx Declared Value
Before you can determine the cost of additional insurance, you are required to calculate the declared value of your package. The declared value should reflect the full amount it would cost to replace or repair the items in your package. The rate you pay for your insurance is dependent on the declared value of your package.
While you aren’t required to provide proof or receipts upon purchasing the insurance, you will need to have that information when and if you need to make a claim. Be sure that the declared value of your claim matches your receipts or proof and that you save this information in a safe place. The amount you declare should reflect the total amount it would cost to replace or repair the items in your shipment.
Cost of Additional Insurance
Once you’ve determined the declared value of your package and chosen your delivery service, you can calculate the cost of FedEx insurance.
For FedEx Same Day delivery services, the maximum value you can declare is $2,000. The cost is dependent on the value. For a package with a declared value of up to $300, the cost is $3. If the declared value is over $300, you will pay $1 for every additional $100.
If you select US Express Package Service, US Ground Service, or International Service delivery options, there is no maximum declared value. The rates for additional insurance are the same as FedEx Same Day service, as outlined above.
If the value of your package is more than $500, the Direct Signature Confirmation service is included at no additional cost. A signature will be required to deliver the package and, if no one is available to sign for it, the carrier will attempt delivery until there is.
Insurance Limitations
FedEx does have limitations on its insurance coverage that you will need to know before shipping your item. The items included in limitations are considered to be of extraordinary value or items with a value that is difficult to determine.
The below items are part of the limitations FedEx has set forth where you can only claim a maximum declared value of $1,000.
- Antiques
- Artwork
- Collectibles
- Furs
- Glassware
- Jewelry
- Photos and Film
- Precious Metals
If you do often ship jewelry or precious metals, FedEx does offer a service that provides higher insurance protection called FedEx Declared Value Advantage. This is a contract-only service for customers who regularly ship high-value specialty items, such as jewelry or precious metals. If you are eligible, shippers can declare up to $100,000 per domestic shipment and up to $25,000 on select international shipments.
Insuring Your Package and Filing a Claim
The steps of insuring your package are fairly simple. When you drop off your package, you will fill out the value section on the shipping form. Again, make sure you have the proper documentation of the declared value because you will need this information in the event of a lost, stolen, or damaged package.
If you do need to file a claim, you can do so online through email or via fax to the FedEx Claims Department. After you submit the claim, make sure you get the reference number so you can track the progress. During the process, you will likely be required to submit documentation such as proof of declared value and proof of a damaged or lost/stolen package. After you make your claim, a resolution is fairly quick with many customers having their claim completed within one week.
Conclusion
Next time you need something shipped securely, don’t hold your breath and hope for the best. Opt for FedEx Insurance to rest assured that your package is safe and will be shipped securely and, if it isn’t, you’ll be covered.
