Some USPS® services (Like Priority Mail®, Priority Mail Cubic® and Priority Mail Flat Rate®) include $100 of insurance from USPS for free. On the other hand, each UPS® service includes $100 of carrier liability for labels you buy on Pirate Ship 😉
Pirate Ship also offers additional 3rd party insurance that can be added to any service. Learn about each USPS and UPS service here.
To add third party insurance to any service, simply select the “Insurance” check box and enter the declared package value:
For USPS and UPS services that include coverage such as Priority Mail® or 2nd Day Air®, this will only add 3rd-party insurance if you declare $101 or more. Note in the event that you have to file a claim, you will have to prove the value that you declared.
How much insurance costs
Here's the breakdown of how much insurance costs on Pirate Ship:
Domestic Shipments: $0.75 for up to $50, then $0.80 per $100
International Shipments: $1.35 per $100
Limit: $5,000 per shipment, or
$1,000 for USPS First Class Package Service
$400 for USPS First Class Package International and Simple Export Rate
3rd party insurance can stack on top of carrier insurance
Third-party insurance that you purchase on Pirate Ship can be "added on top" of the built-in USPS insurance and UPS carrier liability... but you can also choose to insure your shipment solely through Shipsurance.
When purchasing additional coverage for your shipment through Shipsurance, you have two options:
Insure the full value of the product you're sending by entering its full value in the "Declared Value" field (this is what we recommend)
Underinsure your product with the expectation of filing a separate claim with the carrier (for instance, if you're sending a Priority Mail package worth $300, you can choose to enter just $200 in the "Declared Value" field when adding insurance to your label, since Priority Mail labels on Pirate Ship come with $100 of built-in insurance already)
With the first option, the process is streamlined through Shipsurance. At times, they may still ask you to file a claim with the carrier... but for the majority of claims, the process stays with Shipsurance. That's why we recommend this option; you only file one claim!
With the second option, you will file claims with both Shipsurance and with the carrier for the remaining value of the product.
Domestic Priority Mail labels come with $100 of included coverage
Priority Mail International labels come with $200 of included coverage
All UPS labels come with $100 of built-in coverage
First Class Package, Parcel Select Ground, and Simple Export Rate do not have included carrier coverage
Always include the cost of postage if you will look for that to be reimbursed if/when a claim is needed
We generally recommend adding insurance for all international shipments, because other country's postal services aren't as good as the USA... and for high-value shipments that would be a huge loss if they're damaged or go missing.
You can and must include the value of postage and/or packaging in your declaration if you want compensation for the postage and/or packaging in the event a claim is made.
For insurance claims to be valid, Shipsurance requires proof of a USPS or UPS acceptance scan. Note that for USPS labels, End-of-Day SCAN Forms and scans from the self-service kiosks at Post Offices aren't considered proper proof in this case.
Shipsurance Terms and Conditions
Before you ship, we strongly suggest familiarizing yourself with the Shipsurance Terms and Conditions. Shipsurance doesn’t provide coverage for all items or situations, so it’s best to read these terms in full to make sure your shipment is covered!
Any questions? Chat in with our Support Crew - we're here to help 😃