If you use Shopify Shipping to buy shipping labels, you can add insurance coverage as
an extra layer of security for your business when shipping orders.
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For anything we cover in this video, you’ll find the related help articles linked below.
Before we show you how to add insurance to orders, there’s a few things to cover first.
1 - To add shipping insurance, you must purchase a label through Shopify Shipping, that includes
tracking information.
2 - Insurance coverage is administered by Shipsurance.
To see if the products you ship are eligible for coverage through Shipsurance, see the
link in the description.
3 - Shopify isn’t able to provide support for any claims you make through Shipsurance.
But, if an insured package is damaged or lost in transit, then you can file an insurance
claim with Shipsurance directly through your Shopify admin.
Let’s get started on the Shopify admin, and click Orders.
Since insurance can only be added to orders that haven’t been shipped yet, we’re selecting
an order that is unfulfilled.
On the order page, click Create Shipping Label.
On the new page, make any adjustments to the shipping label as needed.
For full instructions on how to purchase a shipping label, watch the video linked above.
In the Shipping Insurance section, enter the dollar amount for the coverage you want to
add to your shipment.
You can include coverage for the total value of the order, or a portion of the total order
value.
Unlike most insurance through the carrier, you can also include coverage for shipping
costs if you purchase insurance through Shopify.
It’s important to note that all prices for shipping labels and insurance are shown in
USD.
If you do file an insurance claim, you can’t claim more than the amount of coverage you’ve
paid for.
Let’s walk through a few examples of how you can add insurance to an order.
One - How to insure the total order value.
If the products in the order are valued at $250 total and you’re using domestic shipping
that costs $9.80, then the total order value is $259.80.
To insure the total order value, add a coverage amount $259.80 to your shipping label.
You pay $0.75 per $100 of coverage.
In this case 3 times $0.75 creates an insurance premium for $2.25.
Two - How to insure a portion of the total order value.
If the products in the order are valued at $100, and international shipping costs $12.00,
then your total order value is $112.00 Depending on your insurance needs, you might
consider adding $100 of coverage to your shipment to cover a portion of the total order value.
International insurance rates cost $1.25 for every $100 of coverage.
So, in this case, you pay an insurance premium of $1.25.
In the event that you file a claim on this order, you have coverage for a portion of
the order up to $100.
To see how shipping insurance rates are calculated, click View details.
Here you see the costs of both international and domestic shipments, as well as flat rate
prices.
When you buy insurance through Shopify for an order that will be shipped by a service
that already includes insurance coverage, the coverage that you buy is not in addition
to the coverage that's already offered by the shipping service.
For example, you might purchase insurance through Shopify for $200 worth of coverage
on a shipment.
But this shipment already has a USPS Priority Mail shipping label that includes $100 worth
of insurance.
If you want the full $200 insurance coverage on the order, then you need to add $200 of
coverage when you purchase your shipping label through Shopify.
You can’t buy $100 worth of insurance from Shopify and combine it with the $100 insurance
from USPS to have $200 coverage.
Both insurances are completely separate from one another, and it is not permissible to
file a claim with both Shipsurance and the shipping carrier.
Once you’ve decided on the amount of coverage you’d like to include, you see the summary
of the shipping label update with the cost of the insurance premium.
To finish, click Buy shipping label.
If you made a mistake or no longer need the shipping label with insurance, see the help
article linked below for instructions on how to void insurance and how to void a shipping
label.
Subscribe now for the next video on how to file a claim with shipping insurance.
If you still have questions, comment below or contact the Shopify support team at help.shopify.com/questions