- Project Title:
- International Mail Indemnity Claim Costs
- Start Date:
- Monday, September 9, 2019
- Estimated Report Release Date:
- March 2020
The Postal Service offers insurance against loss or damage when shipping packages. Some products, like Priority Mail International and Priority Mail Express International, include insurance in their postage price. Customers can choose to purchase up to $5,000 in additional coverage for a fee. A customer files an indemnity claim when seeking reimbursement for loss or damage to an item mailed with insurance.
From Fiscal Year (FY) 2016 to FY 2018, the Postal Service did not cover costs related to Outbound International Insurance payouts. The Postal Service paid about $16.3 million for international mail indemnity claims during this time period — contributing to a net loss for three consecutive years.
We would love to hear from you.
- How important to you is the option to buy insurance when choosing an international shipping service?
- Do you believe international package insurance prices are fair and reasonable?
- How could the Postal Service reduce international indemnity payments (e.g., insurance payouts)?
- Do you think the Postal Service could improve its international insurance payment cost attribution process?