FedEX unsurance issues

Noel Chiappa jnc at
Tue Apr 28 09:08:25 CDT 2020

Hi, a heads-up on sending expensive items via FedEx. They appear to have a new
policy, limiting honouring insurance coverage; so, in my opinion, they are
now unsuitable for shipping valuable items.

Data point 1: a couple of months back, I bought a PDP-11/40 on eBait. It was
shipped via FedEx in two separate packages: one with boards, and one holding
the chassis/front-panel. They somehow managed to lose the second box - and
then refused to fully pay out the insurance coverage on that box. We provided
them with data on an open eBay auction for an identical item, to prove that
our valuation was not inflated, but it didn't help - they only paid out a
reduced amout, not what the thing was worth, and _what we had insured it for_
(even though _they_ lost it).

Data point 2: I collect Japanese woodblock prints; a large dealer I do
business with used to do all their shipping via FedEx - dozens of shipments
per week - but as of yesterday I as informed that they are now switching. Why?
FedEx lost a valuable, insured, package - and would only pay out US1K on it,
not the full insured value, leaving the dealer to absorb most of the loss
(several US$K).

There's a clear pattern here; FedEx is refusing to honour the full insurance
coverage when an item is lost. So I wouldn't ship anythihg valuable via FedEx
unless you can find an outside insurer to cover it - since Fedex's own
insurance coverage now often cannot be relied upon.


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