The shipping method Insured Shipping is now offered by various shipping service providers. Insured shipping has the advantage that the shipped goods are insured up to a certain amount in case of damage or loss. This amount can be viewed in advance and may vary among different providers. The insured shipping method is therefore particularly suitable for high-value products such as electronic devices or jewelry, which are to be sent by mail, for example, as media shipping or pallet shipping. If your goods in the box are damaged, you will be compensated for the damage. Insured shipping usually requires an additional fee compared to uninsured shipping. In addition to the option of an insured package, there is the value letter, with which you can send money insured. Insured shipping not only has the advantage of reimbursement in the event of damage but also makes it possible to track the shipment using a tracking number. This way, you can see exactly at which station your package or value letter is located and whether and when it has arrived at the destination address.

Insured Shipping and Liability Limitation

Insured shipping should not be confused with a liability limitation. Generally, the shipping service provider is responsible for the undamaged transport of your goods. If the service provider states that your package is insured up to a certain amount, this is not insurance but a liability limitation. Thanks to this additional clause, the service provider only covers damages up to the specified amount. This way, they can easily avoid responsibility in the event of a higher value damage. Therefore, the liability limitation does not correspond to insurance. Insurance usually has to be taken out separately. There are special shipping methods for insured shipping, which are correspondingly more expensive than uninsured shipping methods.

Ebay Sellers Are Affected by Special Regulations

There is a major exception that affects many private sellers. Almost no one knows about it, and no one is informed: As an Ebay seller, you are required to send your goods insured. This requirement applies to commercial sellers as well as private individuals. If you do not comply with this requirement, you can be excluded from internet auctions. Therefore, goods must be sent as insured packages on Ebay. Cheaper shipping methods such as merchandise shipments or book shipments are not allowed because they cannot be insured. If the goods arrive damaged or not at all to the buyer, you as the seller on Ebay are responsible for proving that the goods arrived at the customer. However, you can only do this by choosing a shipping method that is insured and can be tracked. Even if insured shipping is not explicitly required, you have no other choice as a seller if you do not want to be excluded from selling on the platform.

Uninsured Shipping Can Be Expensive on Ebay

If you cannot prove that the package arrived at the buyer, you must bear the shipping costs as a private person and resend or replace the goods. If the buyer chose to pay via Paypal, they can easily get their money back through Ebay if you cannot provide shipping proof – a free pass for unscrupulous buyers and fraudsters. Goods that are not sent by package are now often declared as not arrived or damaged to get the money back and receive the goods for free. If the goods were not insured, you as the seller cannot defend yourself in this case, as you have no proof of your proper actions and cannot prove fraud by the buyer. Ebay excludes sellers who cannot provide proof of shipping because they did not send the goods insured from further sales. Uninsured shipping can therefore end up being expensive for you as a seller on Ebay. Not even a negative review for the fraudulent buyer is possible in this case.

Buyers Usually Have the Choice of Shipping Method

Apart from the Ebay platform, the following applies: If you as a buyer have the free choice between different shipping methods, you must see from whom you bought the goods. If it is a private seller, they are responsible for the goods only until they are handed over to the post office. With an uninsured shipping method, you will not be reimbursed for loss or damage to the goods. It is different with commercial sellers. They are responsible for the goods until they arrive at the buyer. Insured shipping is therefore not necessary for you. However, keep in mind that insured shipping offers another advantage: It can be tracked. This way, you can estimate when the package will arrive and how long you have to wait.

Insured Shipping is Transparent and Traceable

Goods shipped with the insured shipping method can be tracked by you. You receive a so-called tracking number, which you can enter online. This way, you can easily track where your package is currently located. This option offers a lot of security for both the buyer and the seller. The buyer can be sure that their goods have been shipped, while the seller can see if the goods have arrived at the buyer. In this way, insured shipping provides the seller with proof of the proper shipment of the goods, which can be an important piece of evidence in the event of alleged loss or damage. Therefore, you should carefully consider whether to choose insured shipping. If you want to send or order something of high value, insured shipping is definitely worthwhile for you.