Blog Claims Interview

What Our Claims Team Thinks You Should Know

September 23, 2020 - Matt Morelli

Our goal is to pay your claims out. That’s why you insure your packages, right? So that in the event something happens, you’re covered. It’s why U-PIC exists…to make you whole again. For you to maximize your investment into insurance protection, there are some things that you should understand to make sure that your claims are valid, and paid out. We sat down with a veteran claims processor, Anahi Villareal, to discuss some important nuances of shipping insured packages.

U-PIC: What is a common mistake that people make when shipping, that can result in a damaged package?

Anahi: The most common and biggest mistake is the lack of packaging materials. When there is too much empty space inside of a box, it is easier for product to bounce around and become damaged during transit. Sometimes shippers try to keep weight down and save money, and they skimp on packaging materials. Other times, people will use a small envelope to ship an item that really shouldn’t be in one, leaving it in a very vulnerable state. I would heavily recommend that shippers always use bubble wrap, Styrofoam, packing peanuts and the like to fill the void space and ensure that your package doesn’t move too much during transit.

U-PIC: What is the first thing someone should do when they purchase a policy with us?

Anahi: I always recommend that a new client review the policy and keep note of how long they have to file a claim. Also, when you are going to file a claim, make sure that the statement you submit is either on or after the filing date. For example, if you have a 21 day waiting period before you are allowed to file a claim for loss, the statement from the buyer/end recipient must be on or after that 21 days.

U-PIC: What would you recommend to a client that is going to be shipping packages internationally?

Anahi: Make sure to check with your carrier’s standards when shipping internationally. There are certain commodities that are restricted and if something happens to a package in that scenario, it may be uninsurable. It’s always beneficial to read the fine print when shipping packages overseas or across borders.

U-PIC: What would you recommend to a seller that has a buyer who wants to use a forwarders address?

Anahi: First, always check that the address being provided is correct. The policy insures your package from point A to point B. Meaning, we do not cover the package after it leaves the forwarder’s address. If the package doesn’t make it to the forwarder’s address, we need a statement from the forwarder stating that they never received the package or that the package was damaged. The forwarder is considered the consignee (end recipient) when shipping to a forwarder's address.

U-PIC: What exactly does it mean when our policy says that we cover loss?

Anahi: To verify, we don’t cover theft if there is proof that a theft occurred after the package was delivered. If a porch pirate shows up and you catch them stealing your package on your ring or camera, we won’t cover that because that occurred after transit. At that point it becomes a local law enforcement issue and we would encourage your buyers to file a report. But if a package is lost or if someone takes it from the truck during transit then the package will be covered.

For more information, have a look at our FAQ’s or our standard Coverage Rules. If you think U-PIC Shipping Insurance can help your company save money on shipping insurance, and want to learn more, call us at 800-955-4623 or email us at sales@u-pic.com.