What are Handling Charges?
Handling charges, also known as handling fees, are additional costs incurred by shippers during the preparation, packaging, and processing of shipments for transportation. Unlike shipping fees, which cover the transportation of goods, handling charges are imposed to cover various expenses related to the careful handling of items.
Why Handling Charges Exist:
- Labor and Packaging Costs: Shippers incur labor costs for the employees involved in packing, labeling, and organizing shipments. Additionally, quality packaging materials are essential to protect items during transit. Handling charges help cover these expenses.
- Special Handling Requirements: Fragile, hazardous, or oversized items require special attention and handling. Shippers charge extra fees for such items to ensure they are packaged securely and transported safely.
- Customization of Shipments: Some customers may have specific packaging requirements or need customized packaging solutions. Handling charges may apply to cater to these individualized needs.
- Administrative and Processing Expenses: Shippers invest in advanced systems and technology to efficiently process shipments. Handling charges contribute to covering the costs associated with administrative tasks and processing orders accurately and promptly.
U-PIC Shipping Insurance Coverage Distinction:
U-PIC Shipping Insurance covers shipping fees if charged to the end user and included in the declared value of the insurance. These fees are part of the overall transportation cost and are eligible for coverage under U-PIC Shipping Insurance in the event of a claim.
Please note: Handling charges, which are charges related to the preparation and processing of shipments, are specifically excluded from U-PIC Shipping Insurance coverage. While shipping fees are covered if included in the declared value, handling charges remain the responsibility of the shipper and are not covered.
