Shipping Insurance: To Buy or Not to Buy?

Paying for shipping on any item, large or small, can feel like more than enough even before you tack on an additional fee for insurance. But before you say no to insurance, read on to see why shipping insurance is for more than just your peace of mind.

It Doesn’t Have to Break the Bank
When you ship a package with a certain carrier, that same company may offer shipping insurance for more than you paid to send the actual package. But it doesn’t have to be that expensive! Did you know that no matter which carrier to choose to send the package, you can choose insurance from a separate company at a big discount? The rates can even be up to 85% less than the carrier charges!

Insurance Covers More Than Damages
Damages in shipping happen probably more than you think. Insurance should be a no-brainer in any situation, but it’s too easy to think that none of the shipping horror stories will happen to anything you send. But for a very reasonable price, you can insure everything, covering damage, loss, and shortage worldwide.

Easy Claims Processing
Government offices are all-too-famous at being slow. How many years of your life have you felt like you’ve lost at the DMV or the post office? When you go with a separate insurance company, you can be confident that if you do ever need to file a claim, the process will be quick and painless. Most claims are completely solved in less than 2 weeks!

Whether you are an individual or business, shipping a large or small package anywhere in the world, think twice before you say no to shipping insurance. You can get a much better deal than you thought, and that’s a small price to pay for the confidence you’ll gain.

Choosing the Right Insurance Company for You

There are a lot of insurance companies, so choosing between them can be quite challenging. Here are the main points to keep in mind when selecting an insurance company:
Not all companies are licensed to operate in each state. In general, you should buy from a company licensed in your state, since you can rely on your state insurance department to help if there’s any problem.

Prices vary greatly from one company to another, so it really is worthwhile to shop around. Get at least three price quotes from companies, agents and the Internet. Your state insurance department may publish a guide that shows what insurers charge for different policies in various regions in your state.

Financial Solidity
You buy insurance to protect yourself financially and provide peace of mind. Choose a company that is likely to be financially sound by using ratings from independent rating agencies.

Your insurance company and its representatives should be able to answer your questions and handle your claims fairly, efficiently and quickly. Talking to other customers who have used a particular company or agent is helpful to that end. You may also want to check a national claims database to see what complaints a company has. Also, your state insurance department will be able to tell you if the insurance company you want to do business with had many consumer complaints about its service relative to the number of policies it sold.

You should feel comfortable with your insurance, whether you get it from a local agent, directly from an insurance company, or over the Internet. Make sure that the agent or company can be reached easily if you have a question or need to file a claim.