Shipper's Insurance protects your orders against the cost of lost or damaged shipments while in transit. Add it to individual orders or automatically via automation rules, and file a claim if something goes wrong in shipping.
Table of Contents
- What is Shipper's Insurance?
- Does LVK offer Shipper's Insurance?
- How to File a Shipper's Insurance Claim
- How Much Does Shipper's Insurance Cost?
- What Shipper's Insurance Covers and Doesn't Cover
What is Shipper's Insurance?
Shipper's Insurance provides additional protection against the financial impact of lost or damaged orders while in transit.
Does LVK offer Shipper's Insurance?
Yes, LVK offers Shipper's Insurance for domestic shipments upon request.
Options to Add Shipper's Insurance
- Open a ticket with our Fulfillment Support team. This is the best option for adding insurance to single orders. As a best practice, place a Client Hold on the order until the request is complete, then remove the Client Hold once you're ready for us to process it.
- Set up an automation rule to apply Shipper's Insurance automatically to orders that meet specific criteria.
How to File a Shipper's Insurance Claim
To file a claim for an insured order that meets the coverage requirements, open a ticket with our Carrier Claims Department.
Insurance must be purchased for the following carriers in order to file a claim:
- DHL
- UPS Mail Innovation
- Surepost
- Canada Post Regular Parcel
- Purolator
For more information, see How to File a Carrier Claim.
How Much Does Shipper's Insurance Cost?
| Fee | Amount |
|---|---|
| Processing fee | $2 per insured order. |
| Coverage rate | $0.99 per $100 of declared value, rounded up to the nearest $100. |
Example: An order valued at $550 costs $7.94 to insure ($5.94 declared value charge + $2 processing fee), added to the shipping cost.
- For orders mapped directly to a specific carrier, the carrier applies the insurance fee when you select "Insure Order." This fee appears in the carrier's "Surcharge" on the order.
- Base the insured value on the wholesale cost of the goods in the order, not the selling price.
- If the order also requires a signature, the carrier may apply an Unexpected Carrier Surcharge (UCS), which will appear on your next UCS invoice.
Important
Shipper's Insurance is only available for US domestic shipments.
What Shipper's Insurance Covers and Doesn't Cover
Covered by Shipper's Insurance
| Scenario | Details |
|---|---|
| Missing shipment | The initial scan was confirmed, but there have been no tracking updates for 15–20+ business days since. |
| Damaged shipment | The product arrives with physical damage (not just box damage). |
Not Covered by Shipper's Insurance
| Scenario | Details |
|---|---|
| Tracking shows "Delivered" | The customer claims the package is missing or stolen despite a delivered status. |
| Undeliverable address | The customer provided an invalid or incorrect address. |
| International shipments | Not covered, except as noted below for orders originating in Canada. |
| Origination in Canada | Covered for orders shipped from Canada to the US. Not covered for orders shipped from Canada to other destinations. |
During peak season, service level agreements (SLAs) may be delayed due to increased carrier demand.