How to Avoid Claim Denials

Posted August 3, 2018 by Matt Morelli

A lot of the blog content we will author will be geared toward helping clients grow their eCommerce business. This piece however, is to help you have a smooth and easy claims process with U-PIC Shipping Insurance.

We get it, reading the small print is no fun. But the small print is where all the terms and conditions that would be helpful to know are housed. To make things easier for you, I’ve decided to list out some of the more important things that you should know to ensure that your claims process is simple and fast.

Without further ado, I present to you — Claims for Dummies.

  • File Early

    Educate yourself on your carrier’s claims policy if you are allowing them to insure the first $100, and be sure to file as soon as you are able to. Different carriers have policies that differ from one another, so make sure you’re up to date. Waiting too long may be cause for a claim denial originating at the carrier level.

  • Use Detailed Tracking Information

    Use a mode of delivery that provides you with detailed tracking information, so that you always know where the package is. If a package is held up, you can proactively service your customer by reaching out to them. This kind of service creates value to your customer, and will make you look like a rockstar to them.

  • Know Your Commodities

    Not everything that ships is insurable. Take a moment to review our list of commodities that are excluded from coverage. Claims made on items that are excluded are unable to be processed. Click here to see the list.

  • Know Your Countries

    Like commodities, not understanding which countries are excluded from coverage can cause undue stress and denied claims. Click here for a list of countries you should be aware of.

  • Secure Your Barcodes

    Barcodes may come loose and fall off during any point in transit, leading to packages being lost or unidentifiable. Make sure you secure it tightly onto the box or bag your products are being shipped in. You may also want to include a second set inside of the package as well in the event the outer one comes off.

  • Use Strong Boxes

    Reusing old boxes is good practice for the Earth, but make sure they are still in good order. Strong boxes that can withstand some drops or hits will help you avoid angry customers and broken products. Additionally, be sure to pad the voice space between the products you are shipping and the inner box walls. You can use bubble wrap, old newspapers, or other types of materials to ensure that drops and hits don’t damage the goods.

  • Don’t Draw Attention

    The contents of your package should not be apparent to anyone. Branded boxes or packing tape should be avoided. The goal is to allow your packages to blend in with everything else, in order to not entice wandering eyes. Boring packages stand a greater chance of being passed over by those who are intent on stealing the contents.

These are the main issues that our clients run across that may lead to a claim denial… or, in the very least, an angry customer and frustration on your end. Awareness of these best practices is a big step in the direction of keeping your customers happy, and in turn, keeping you happy! If you have any specific questions, or need further assistance please do not hesitate to reach out to us at any time, or call us at 800-955-4623.

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