Shining a Light On The World of Shipping Insurance
With the spectacular rise of eCommerce has come the continually growing market for shipping all of the goods purchased with the click of a mouse. With people everywhere buying more products online than in stores, naturally, shipping has evolved.
However, shipping involves an inherent risk of damage, which means choosing the right shipping insurance, which guarantees your shipments arrive on time and undamaged but doesn’t wipe out your profits, is a top concern for businesses. Here are four things to know before jump aboard the shipping insurance train.
Your Customers Care About Shipping
All successful brands care about what is important to their customers. And your customers? They care about shipping. While most of us will still choose a free shipping option over fast ones, eCommerce giants like Amazon and eBay now offer a myriad of shipping options, combining various levels of speed and cost. The standard has been set. Giving customers different shipping options all the while knowing you’re both protected from damaged, lost or stolen goods strengthens the relationship between both parties. It also saves you from wasting money (and time) on replacements.
Calculate Your Risks
Every day shipments are distributed and hundreds end up damaged or worse. We get it. Ship Happens! But, you could be losing thousands a year in goods and, at the same time, paying more to replace these items. Are you willing to take that risk?
The right shipping insurance means that you will be reimbursed for damages – or for stolen packages. With the upcoming holidays more packages will be sent, which means more will be at imperil. Unfortunately, you have no way of recovering the money and time spent distributing your goods without insurance. Prepare yourself for the upcoming holidays and make your good’s safety and your customers satisfaction a top priority.
Take Out Your Microscope For the Fine Print
You’re going to need a microscope to read the small (sometimes tiny) print. Did you know that many shippers, including FedEx, do not insure the shipments of certain items, such as precious stones? Choosing the right shipping insurance is already difficult but when your insurance only mentions “unshippable” items in fine print it can get frustrating and expensive. Before signing the dotted line, triple check that your insurance is providing everything you need and protecting all your organization has to offer.
Your Match Made In Shipping Heaven Does Exist
Shipping insurance can get pricey if you’re not careful, but never fret! Affordable shipping insurance does exist and there are thousands of resources to help you find the perfect match. After all, the point of shipping insurance is to save money not spend it all on protection! We get it and we’re here to help.
You should know that prominent carriers usually charge about .80 cents for every $100 of value, though this calculation assumes that the products being shipped are not luxury items, such as high-end electronics, luxury bags, and high-end perfumes.
Third-party insurers charge as little as .45 cents for every $100 of value, factoring in the frequency of shipping and the characteristics of the products.
Shipping can offer you a great deal of security. But, with so many options, where do you even begin? With a reputation that makes eShipper Canada’s go-to eCommerce expert, we are here to lend you a helping hand. To learn more about different shipping rates and what your organization stands to gain from getting coverage, reach out to eShipper today. Don’t forget to download our free eBook to digest more of shipping and fulfillments best practices.