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Home > Sell > Seller Information Center > Fall 2010 Update > Shipping insurance

2010 Fall Seller Update

Fall 2010 Update
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Insure your USPS shipments right on eBay and save!

Get your USPS shipments insured the easy, low-cost way with ShipCover, the new, complete coverage option available exclusively when you pay shipping and print labels on eBay.

Best Practices
Frequently Asked Questions

  • Enhanced coverage. With ShipCover you can get up to $5,000 of domestic or international insurance coverage for your eBay shipments worldwide right on line when you print your shipping label on eBay.

  • Low cost to help you stay competitive. With ShipCover you pay just $1.65 per $100 coverage—a significant savings to most carriers' insurance rates. You can build the cost of insurance into your shipping or item price or provide it free to be even more competitive.

  • It's easy and efficient. When you print with eBay labels, simply select the "Add insurance" box, verify the insured value, accept the "terms of coverage" and click the "Add" button. Then click the "Pay and print" button. Insurance is automatically added to your shipment, making it easy to keep track of shipping your item with insurance and delivery information in one convenient place.

  • Faster, easier claims process. If you need to file a claim, we've made that easier too. If your insured package is lost or if your item is damaged during shipping, you can file a claim quickly and easily right from My eBay. Most claims are processed within 7 business days after claim verification. Monitor the claim's progress 24 hours a day, seven days a week. If the buyer opens a case in the eBay Resolution Center, we'll use the case to verify the claim and process it faster.

  • Insurance from a reputable company: ShipCover insurance is provided by eBay through Parcel Insurance Plan and underwritten by Interstate Fire and Casualty Company, a subsidiary of Fireman's Fund Insurance Company.

  • Peace of mind for you and your buyer. Adding low-cost insurance to your shipment helps let buyers know you care as much as they do about the safe delivery of your goods.
ShipCover insurance is launching soon to a small group of eBay label printing users. It is scheduled to become more widely available to other sellers in time for the holidays.

It's easy. Just select the "Add insurance" box, declare the value you want to insure, select ShipCover Insurance on the dropdown menu, accept the "terms of coverage" and click the "Add" button. Then click the "Pay and print" button. Insurance is automatically added to your shipment.

  • As a seller you can choose to purchase insurance on shipments, but you are not permitted to ask buyers to buy insurance separately.

  • When appropriate, you can include the cost of insurance in your item or shipping price, or provide insurance for free to make your item even more competitive.

  • Be proactive on communicating with buyers. Letting the buyer know the shipment is insured may help satisfy your buyers in case of loss or damage.

  • Pack items securely when you ship to reduce the risk of damaged shipments.

What is ShipCover?
ShipCover is parcel insurance provided by eBay through Parcel Insurance Plan (PIP) and is underwritten by Interstate Fire and Casualty Company, a subsidiary of Fireman's Fund Insurance Company. ShipCover insurance offers competitive shipping insurance for eBay sellers. You can purchase ShipCover insurance when you use eBay label printing.
What does it cost to insure a shipment with ShipCover?
Insurance from ShipCover costs $1.65 per $100 of coverage, up to an insured value of $5,000. See rate tables for pricing details.
Doesn't PayPal Seller Protection or eBay Resolutions cover me? Why should I buy ShipCover insurance?
In general, PayPal Seller Protection provides coverage to U.S. account holders for eligible transactions in the event of an unauthorized payment or item not received claims, chargebacks, and reversals. And sellers can use the eBay Resolution Center to open a case if they do not receive payment for their item or if they want to cancel a transaction.

ShipCover allows you to purchase shipping insurance for your item as an extra measure of protection in case your item is lost or damaged in transit. And the claim verification and settlement process is fast and easy.
Can I purchase ShipCover insurance for any carrier?
ShipCover is available only for USPS shipments when you print shipping labels on eBay. At present ShipCover is only available through label printing on eBay; it is not available with PayPal label printing or with UPS at this time.
Can I buy ShipCover insurance for labels printed through PayPal?
No. ShipCover insurance is only offered when you pay for shipping and print the shipping label on eBay.
Do I have to use ShipCover insurance? Can I use another insurance provider or not insure my shipment?
Insuring your shipment is completely optional but is a best practice in providing great customer service (especially for the holidays). You do not have to use ShipCover; you may use any other provider to insure your shipment. However, we encourage you to compare cost, coverage, and convenience of services.
I thought eBay doesn't allow shipping insurance in listings?
Sellers are not allowed to offer shipping insurance to buyers as an option in their listings. Sellers are always allowed to purchase insurance for their shipments and, when appropriate, may even include the cost in their shipping charges or item price. ShipCover is offered as a convenient, low-cost way for sellers to purchase insurance for their eBay shipments.
If an item is lost or damaged, how do I file an insurance claim?
When you purchase insurance a confirmation email will be sent to you with the policy details and instructions on how to file a claim. If the item is lost or damaged, file a claim in My eBay. Under "View order details," click the "File Insurance Claim" link, fill out the information on the claim form and submit.
How does ShipCover verify my claim with the buyer?
Once you file a claim, the buyer needs to verify that the item is either damaged or was lost during shipping. There are two ways the buyer can verify your claim. If your buyer files a case with eBay Resolutions or with PayPal Buyer Protection for an item lost or damaged during shipping, ShipCover will consider the case as buyer verification. If the buyer doesn't go through eBay Resolutions or PayPal Buyer Protection, ShipCover will send an email to the buyer with details on how to complete the verification process.
What if my buyer does not verify my claim?
If your buyer does not open a case through eBay Resolutions, ShipCover will send an email notification of a claim submission to the buyer to verify the claim. If the buyer doesn't respond within 15 days of receipt of the claim submission notification email, a reminder email will be sent to the seller requesting the seller work with buyer to verify the claim. If the buyer doesn't complete verification within 30 days of claim submission, the claim will be denied and closed.

Therefore it is important that you keep the lines of communication open with your buyer. Working with your buyer may help you get your claim settled more quickly and easily.

File an insurance claim right from the "Order details" page in My eBay.

Fill out the online form and click "Submit claim." It's that easy.
Are there any items excluded from ShipCover?
ShipCover covers more items than most carriers; however, there are some exceptions. For the most up-to-date list of excluded items, please see the ShipCover terms of coverage.
Are there any countries where ShipCover will not insure shipments?
The following countries are excluded from ShipCover insurance: Belarus, Cote D' Ivoire (Ivory Coast), Cuba, Iran, Korea, Democratic People's Republic of North Korea, Burma/Myanmar, Sudan, Syrian Arab Republic, and Zimbabwe. Please note this list is subject to change.
Will filing a claim with ShipCover be taken into consideration in evaluating my performance as a seller?
Filing an insurance claim with ShipCover is not a factor in evaluating your performance as a seller. However, if your buyer opens a case through the eBay Resolutions or PayPal Buyer Protection the case will be considered along with DSRs in evaluating seller performance.
What are the rates for Surplus Line Tax and Surplus Line Stamping fee?
The Surplus Line Tax is calculated at 3% and covers the California State Tax. The Surplus Line Stamping Fee is paid to the California Stamping Office and is calculated at 0.20%. The stamping fee is only paid on parcels valued greater than $100. There is no Surplus Line Stamping Fee when the cost of the parcel is valued at less than $100.

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