Shipping costs

Signature, insurance and carrier liability, decoded

Published

Default carrier liability is lower than most shippers assume, and declared value is not the same as insurance. Know which you have.

Most parcels move with a low default liability limit that applies whether or not the loss was the carrier's fault. Anything above that limit is uncovered unless you took a specific step at shipping time.

Declared value is not insurance

Declaring a higher value raises the carrier's maximum liability; it does not create an insurance policy with an insurer's obligations. Coverage remains subject to the carrier's exclusions — which commonly include insufficient packaging, certain goods categories, and consequential losses such as lost sales.

When a signature is worth it

  • High-value items where a delivery photo would not resolve a dispute.
  • Deliveries to buildings with shared or unsecured entrances.
  • Any shipment where you would otherwise lose a chargeback for lack of delivery proof.

Making a claim stick

  1. File within the carrier's deadline — these are short and strictly enforced.
  2. Keep the packaging, the parcel and photographs of both.
  3. Provide the commercial invoice or purchase receipt showing actual value.
  4. Expect the shipper, not the recipient, to be the claimant on most carriers.

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