PARCEL PROTECTION INSURANCE PROGRAM: DESKTOPSHIPPER

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A SUMMARY OF IMPORTANT TERMS AND CONDITIONS

Updated 7/1/2021

Insurance Rates

All Approved Domestic Carriers:
$1.00 per $100 of coverage
All Approved International Carriers:
$1.00 per $100 of coverage

Coverage Rules

Provides true insurance coverage for physical loss of parcels in transit and until fully delivered. Perils insured are based on “all-risk” causes of loss inclusive of physical damage, theft, etc. (subject to exclusions – please see below). Coverage is provided for deliveries with origins from the United States or Canada to domestic and international locations (subject to the excluded countries and territories as noted below in Exclusions b. Insured amounts are based on the declared values selected when electing to purchase insurance through the Parcel Protection Insurance Program, and prior to the actual shipment of the parcel.

Carrier Packing Requirements and Country Conditions:

Please ensure, if you are shipping with United States Postal Service, your packages are in compliance with the shipping restrictions and country condition rules found HERE.

If you ship with any of the following carriers, click on their respective link below to ensure you are shipping responsibly and in compliance with their shipping restrictions:

  • Via United States Postal Service, click HERE.
  • Via FedEx, click HERE.
  • Via UPS, click HERE.

If you ship a prohibited item or your packaging doesn’t meet the carrier requirement, there is NO COVERAGE.

Please note these important exclusions and coverage conditions:

  • There is NO COVERAGE for specified commodities shipped under this insurance program. Please refer to “Exclusions A.” below for this listing of excluded commodities.
  • There is NO COVERAGE for shipments to specified excluded countries under this insurance program. Please refer to “Exclusions B.” below for a listing of excluded countries.
  • SIGNATURE CONFIRMATION REQUIRED:
    • Jewelry with declared values of $1,000 or more: Jewelry includes items that are typically made from or contain jewels and precious metals, i.e., watches, broaches, necklaces, rings, or bracelets require Signature Confirmation Service for both Domestic and International shipments. Please refer to “Condition D.” below.
    • Computer devices including laptops, tablets, etc., and mobile phones including cell phones, smart phones, etc., require Signature Confirmation Service for both Domestic and International shipments. Please refer to “Condition D.” below.
  • Upon submitting a claim for damaged goods, all packaging material and damaged goods must be maintained as supporting evidence. These materials must not be discarded nor returned before a claim is completed. Your claim may be denied if these conditions are not met. Please refer to “Condition B.1.” below.
  • A completed buyer’s statement (Proof of Loss) will be required in the event of a claim. This is an electronic document, sent by Parcel Protection to the claimant to document and support the loss or damage resulting in the claim. Please refer to “Condition B.3.” below.

Coverage Limits

This insurance covers shipments sent via approved carriers, as follows:

  • The maximum coverage available for any one package is $10,000
  • The maximum coverage available for any one conveyance is $50,000

Definitions

Terms used throughout this program are further defined below:

  1. "Carrier" means the shipping company transporting the packages insured by this program.
  2. "Insured" means the seller, fulfillment company, shipper, logistics provider, and individual or company who have elected to purchase this insurance.
  3. "Parcel" means packages or shipments transported by the shipping company.
  4. "Parcel Protection" means the Parcel Protection Insurance Program.
  5. "Insurance Amount" means the total value declared for a parcel insured in this program.
  6. "We," "us" and "our" means Starr Indemnity & Liability Company.

Exclusions

The Parcel Protection Insurance Program specifically will not provide coverage for the following items shipped, locations to which the parcels are intended for delivery, nor coverage from the following causes of loss:

A. Accounts, bills, bullion, currency, cash in transit, evidence of debt, checks, money orders, cash on delivery (COD) payments, loose stones (precious or semi-precious), original fine art, money or coins (other than collectible coins which are covered), negotiable papers such as securities, deeds, event tickets, deeds or other similar notes of economic value, manuscripts, documents, neon items, hazardous material, LCD monitors or screens, televisions (including LCD, plasma, projection, and similar), perishable cargo or similar property, unless specifically endorsed in writing to this coverage.

B. Shipments sent to: Afghanistan, Angola, Belarus, Bolivia, Bosnia, Burma, Congo, Cuba, Iran, Iraq, Ivory Coast (Cote d'Ivoire), Jordan, Liberia, Nigeria, North Korea, Paraguay, Russia, Sierra Leone, Somalia, Sudan, Syria, Ukraine, Zimbabwe. Locations, territories, regions which would be in violation of U.S. trade or economic sanctions, including but not limited to OFAC Restricted Countries.

C. Seizure, confiscation or destruction under detention of Customs regulations.

D. Signature Service (when required) – coverage is excluded if the required signature service is not obtained.

E. Parcels lost or damaged as a direct result of an incorrect shipping address are not covered. Parcels shipped in packaging which does not meet the basic needs to withstand the transit are not covered.

F. Loss, damage or non-arrival of any package or its contents, which (a) is addressed, wrapped or packed insufficiently, incorrectly or contrary to carrier’s packaging requirements; or (b) bears a descriptive label or packaging, which describes the specific nature it’s of contents, except if required by Postal Laws and Regulations.

G. Loss, damage, shortage, or non-arrival of any parcel or freight and the contents when resulting from fraud of any insured, or by fraud relating to the required payment of the shipping costs and fees for the transit services procured.

H. Claims arising from consequential economic losses are not covered. Consequential economic losses include but are not limited to: loss of market value, loss of use, shortages, clean-up costs, decay, inherent vice, etc.

I. Losses specifically caused by a change in temperature or humidity are not covered.

J. Merchandise shipped on consignment.

K. Any parcel containing personal goods to assist an employee and or employer, family member, or friend.

L. Certain catastrophic perils, generally deemed to be uninsurable are not covered. These include but may not be limited to: War, civil war, revolution, insurrection, capture, seizure, rebellion, arrest or restraint (piracy excepted) are not covered.

M. Losses caused by Mechanical Breakdown or Electrical Disturbances are not covered. This exclusion would include loss of refrigeration or heating unless there is specific evidence of parcel damage which specifically caused the loss in refrigeration or heating.

N. Electronic data, computer programs, and other recorded media are not covered for losses resulting in corruption or loss of such data.

O. American Institute of Marine Underwriters Extended Radioactive Contamination Exclusion clause.

P. American Institute of Marine Underwriters Chemical, Biological, Bio-Chemical, Electromagnetic, and Cyber Weapons Exclusion clause.

Q. Shipments involving illegal substances are excluded from coverage.

R. Pollution: The actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of pollutants or contaminants.

Conditions

A. CLAIM DISPUTES: All parties agree that in the unlikely event of a dispute relating to a claim which cannot be otherwise resolved, that the jurisdiction for adjudication for any related legal actions arising out of such dispute, shall be within the County of Orange, and within the State of California.

B. CLAIM REQUIREMENTS:

  1. In the event of a claim caused by physical damage to the parcel as evidenced by the damage to the product and original packaging, the recipient is responsible to keep the damaged packaging materials and product for the potential inspection by the claims adjuster.
  2. Claims caused by concealed or hidden damage are covered by the policy as long as the discovery of the damage occurs within the first 10 days from the date in which the parcel has been delivered. If the discovery of concealed damage occurs on the 11th day or thereafter from which final delivery has been made, the damage is considered to have occurred after the transit and delivery has been completed, and therefore is not covered.
  3. For the filing of each claim, the following is required:

    a. The Insured will complete a Parcel Protection claim form within (90) calendar days from the date of shipment for a claim to be considered. Once a claim is initiated, the Insured will have 1 year to provide all supporting documents to substantiate the claim and to provide the required signed claims statement/affidavit (Buyer Statement) from the package recipient.

    b. A copy of the invoice from the Insured reflecting the total value of the package, photos of damaged goods and packaging (if claim is for damage or shortage), a repair estimate (if damaged item(s) can be repaired), a claim statement signed by the recipient (or intended recipient), and any other documentation deemed reasonably needed by Parcel Protection to substantiate the claim.

    c. If the claim is for a parcel that arrived damaged, a claim can be submitted immediately.

    d. If the claim is for lost property (i.e.: a lost parcel in transit) the Insured must wait (18) calendar days from the initial shipping date for (Domestic shipments) or (35) calendar days from the shipping date for (International shipments) before filing a claim with us. During this waiting period, the insured or the additional insured shall provide notice of the loss, to the intended recipient of the property, to allow time for the potential recovery of the lost parcel (or its contents) to be recovered.
  4. Any damage to a parcel that was not repaired must be made available to us or Parcel Protection, upon request.
  5. Claims payments will be made promptly upon the conclusion of the claims adjusting and approval process.
C. CONFORMITY TO STATUTE: Provisions of the various laws of the State’s jurisdictions involved and related to claims matters will be the priority in the conformity with other provisions herein.

D. OTHER INSURANCE: The insurance provided under this program is excess insurance coverage over any other insurance coverage provided to any insured. The Insured is responsible for the claims filing and collections of any claims proceeds available under this condition from the other insurance. The insurance provided under the Parcel Protection Insurance Program will provide coverage above the coverage limits of the other insurance, whether paid or not paid to the insured, and only to the total amounts of the limits of insurance provided under the Parcel Protection insurance plan.

E. SIGNATURE CONFIRMATION SERVICE: Jewelry with declared values of $1,000 or more: Jewelry includes items that are typically made from or contain jewels and precious metals, i.e., watches, broaches, necklaces, rings, or bracelets require Signature Confirmation Service for both Domestic and International shipments.

Computer devices including laptops, tablets, etc., and mobile phones including cell phones, smart phones, etc., require Signature Confirmation Service for both Domestic and International shipments.

For shipments requiring Signature Service – coverage is excluded if the required signature service is not obtained.

F. VALUATION: The valuation of a loss to covered property insured under this program, will be based on the declared value selected at the time of the procurement of the insurance coverage. In the event there is no declared value, nor invoice to support such value, the valuation shall be based on the actual cash value of the parcel insured.

G. CHANGES IN PREMIUM RATES OR POLICY COVERAGE TERMS: The insurance premium rates and policy coverages provided by the Parcel Protection Insurance Program may be changed at any time upon (30) days of written notice to any insured.

H. REMOVAL FROM THE PARCEL PROTECTION PROGRAM FOR FUTURE SHIPMENTS: If the Parcel Protection Insurance Program deems that an insured, shipper/seller has presented unacceptable exposure to the insurance program and that the potential adjustments to premium rates or coverage terms noted above in “G. CHANGES IN PREMIUM RATES OR POLICY COVERAGE TERMS” would not be considered enough to protect the insurance program as a whole, then an insured may be removed immediately from the insurance program on a going forward basis.

I. NO EFFECT TO INSURED SHIPMENTS ALREADY PROCURRED NOR TO INSURED SHIPMENTS PROCURRED DURING THE NOTICE PERIODS IN “G.” AND/OR “H.” ABOVE: Any changes made in premiums or coverage terms outlined in “G.” above will have no effect on existing, insurance for parcels in transit, nor for parcels to be insured during the notice period. In regard to “H.” above, there will be no changes in coverage on existing, insurance for parcels in transit.

J. NONPAYMENT OF PREMIUM: If the Insured does not pay its invoice for shipping insurance charges within 10 days after it is due, the insured is subject to removal from the Parcel Protection Insurance Program. If removed from the program, the Insured is prohibited from purchasing insurance through any other partner offering the services of the Parcel Protection Insurance Program.

DISCLOSURES AND NOTICES

Procurement of insurance via the on-line, electronic platform provided to any insured of the Parcel Protection Insurance Program is being offered based upon the reliance of factual information provided by each potential insured party. It is a condition of this insurance procurement that such information is accurate and factually correct. Furthermore, the insured acknowledges that this information forms a basis of an insured contract in which such information is an inducement for the acceptance of the potential risk of loss to the Parcel Protection Insurance Program in exchange for the insurance premiums to be paid for such underlying risk.

The submission of false, fictitious, or fraudulent statements to an insurer may result in imprisonment of up to 5 years and a fine of up to $10,000 (18 USC 1001). Civil penalties of up to $5,000 and assessments of amounts falsely claimed may also be imposed (31 USC 3802). Warning: any fraudulent claims will make the shipper and/or consignee liable for any prosecution for mail fraud under federal criminal codes.

The insurance policies provided under the insurance program described and detailed herein are provided by Starr Indemnity & Liability Company. Starr Indemnity & Liability Company is an “Admitted” Insurance Company within the United States.

This insurance reimburses you for losses you may incur.

The insurance broker representative, Parcel Shield Insurance Services, and an affiliated reinsurance company have entered into services and reinsurance agreements with Starr Indemnity & Liability Company and have entered into other risk sharing agreements related to the insurance coverages and related risks undertaken by this insurance program.

Under these agreements, the reinsurance company may assume a portion of the risk associated with such insurance coverage. In exchange for its assumption of such risk, the reinsurance company may receive a percentage of the insurance premium paid to obtain the Insurance coverage. The reinsurance or other such risk sharing agreement will not increase the insurance premium you pay or change the terms of your policy.

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