What Is In-House Insurance? (How it works)

What Is In-house Shipping Insurance?

In-house Shipping insurance is when a merchant provides their own policy/coverage product for clients to purchase.

In most situations a merchant will make more revenue from the policy sale than they will having to fulfill claims.

The most common form of shipping insurance provided by merchants includes coverage for packages that encounter issues such as being lost, damaged, or stolen during the shipping process.

Customer Experience with Shipping Insurance

The customer selects the option to add insurance to their order at checkout.
The insurance fee is added to the total purchase cost.
In the event of a shipping issue, the customer initiates a claim through the merchant's designated communication channels, such as email or a support chat service.

Merchant Experience with Shipping Insurance

The order is processed with the shipping insurance ("shipprotect") included.
Payment for the insurance is collected alongside the payment for the order.
If a claim needs to be made, the customer contacts the merchant through the provided methods.
The merchant then follows their established procedures to resolve the claim.

Updated on: 27/03/2024