Has anyone collected money from USPS insurance?

Just wondering if anyone has successfully collected insurance from a lost shipment of coins?

Per the USPS website, there's nothing on there that says they don't cover coins....which is the prevalent rumor on the internet.

Thanks

 

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I did on a currency lot that was lost a couple years back but it did take over 6 weeks
To collect!!

 

Ponzi

Yes. But they were low grade Franklins......and it was a long time hassle.

Ponzi did better but that might explain the bother.

 

Thanks folks.

I'm waiting to hear from someone that had mailed one expensive coin and it was lost. I sometimes ship $100-$500 single coins I'm selling. The only sales documentation I might have is from emails back and forth. Don't lecture me on using registered mail, I hate to use it (because it can be inconvenient for the buyer), it's outragously expensive and not cost effective on a $100-200 coin.

 

It takes 6-8 weeks for them to pay a claim. Documentation (invoice) is important. Your printout of our invoice will be the basis of the claim. This is all based on USPS rules. In over 20 years of mailorder, ebay, etc. I have had only one shipment out lost and the guy was polite waiting the 6-8 weels to be reimbursed as this is subject to USPS rules and their investigation. This was before paypal butt into things on the bay and you could still neg them if they were unreasonable. I have had 2 incoming shipments lost over this period and I question (1) if the sellers really shipped the material and (2) if possibly a USPS worker at my PO (a real jerk about nit picky things) might have stolen them. I was reimbursed but after the 6-8 week period.

If your caught in a whipsaw between an impatient buyer and USPS about a claim taking too long simply tell the buyer it is subject to USPS rules and refer them to USPS if they get too belligerent. Of course the way paypal would but in you would probably have to reimburse the buyer then wait the 6-8 weeks (assuming its a legit claim). If paypal not involved then your in better shape in this situation.

 

Bump!

 

True mail doesnt get lost that often but usps sure makes a bundle off the insurance they collect!!

 

Very Accurate/Informative!!

I've collected from USPS on numerous occasions, and found that the process may be prolonged to a year, and can be very convoluted, as their requirements for proof of content/value are very restrictive.

I believe that when shipping via registered mail, you can ship virtually anything reasonable, and I've shipped large sums of cash with proper value declaration.

A caveat when using the USPS insured shipping is that you may be required to prove the contents of a shipment, and the real value, My understanding/experience is that only the proven value will be covered to the maximum of the amount for which a premium has been paid.

After several encounters, when there's extraordinary value, I package in full view of a Notary Public with a camera,

I believe that many will not read the USPS documents pertaining to insurance coverage, and try to avoid premiums by shipping uninsured/underinsured, expecting full compensation.

Rich

 

Yes. I once sent an 1855-D $5 gold coin to PCGS for regrading, as I thought the coin was about a VF-30 and PCGS slabbed it at XF40. I insured it for my purchase price and USPS records show it leaving for California and disappearing en route. It took quite a bit of time, but I finally received a check for the insured amount.

Shortly after my coin disappeared a postal employee working at the Post Office used by PCGS was arrested and charged with theft.

 

I always ship with the item being listed as a numismatic token. That way in case of a loss I can collect. I have never had to collect....however I though at one time I did loose a coin in shipping. I sold a Raw 1904 O Morgan to a buyer in Ca. The buyer had made purchases from me before and knew I had shipped this item. After dealing with the PO I just decided to send the buyer another coin to replace the lost coin. As the PO told me that the person who was receiving the item had to file the claim and paper work. Long story short I just sent another coin, it just made good business...and less of a problem for both the buyer and I . About a month went by and I got an e mail from the buyer stating that she got both coins and wanted to know if they could just send me the money for the second coin. I was very happy for the out come. But I do advise always list the content as a token.

 

My old boss, Jim A., received a package from a seller on eBay, via Priority Mail, around the year 2000. Jim paid insurance. The seller shipped the item, uninsured (about $1000 in old coins). It was received here EMPTY. Since the shipping post office weighed it, and the current weight was different, it was determined the theft was in the Jacksonville, FL, sorting depot. Jim quietly received a check from the postmaster for the full value of the coins.

 

This won't help you BadThad - however related to making a claim on a insured shipments. I placed a claim for an insured lost package. Buyer was on vacation. The item disappeared while waiting to be picked up from the local Post Office. I am convinced that USPS insurance tags are the equivilent of "Steal Me" Tags since out of thousands of packages to and fro, the only problems I have ever had was packages that were insured.

I received reimbursement within weeks of the claim. I am fairly certain because it was an eBay sale that was easily referenced for proof of value.

Interesting side note. I insured for the 1-200 value on an auction of $105. (Similar collectibles had sold for more than $200 in the past) I appealed the amount paid, and sent info related to previous sales to back up my appeal. I wanted the full $200. Tried reasoning that for the extra dollar in fees for $5 value it made no sense for me to insure to $200. I also asked what would have been paid if I paid fees for the $2-300 range, while emphasizing that neither the me nor the buyer wanted the money, we wanted the item! No response - just denial of the appeal.



The point is: If you insure from an eBay sale. Pay close attention to the value amounts on one of a kind item and if something should happen.... if you reference an eBay auction in the claim, they will not pay any more than the auction price. period..

lastly... it really bothers me that many eBay sellers still try to charge buyers for their insurance.

 

How did you prove the contents and the value? Let's say an entire deal was consumated via email. Often, that's the only proof I have that a deal was completed. With ha.com, ebay, etc. it would be easy to prove....but I'm wondering if I'll get screwed.

I like the notary idea! That could be useful. I'm starting to think I need to seal the package in front of the postal worker and video tape the entire thing. Maybe bring the notary with me to witness the mailing and make the worker sign as a witness. LOL

 

GREAT post! It does help bro. I think this thread is useful for EVERYONE on CT that buys/sells coins using USPS. Thanks

What is interesting is that they paid a claim for a "delivered" package. It's really due to their negligence by leaving where anyone can walk by and snatch it. Did your package have delivery confirmation?

 

I think I've mentioned this on a similar thread but my experience with doing a claim online was that I was supposed to upload a scan of my original tag and receipt, neither of which is specifically requested. Because my claim was from an eBay source and the USPS even filled in all the form info itself (from the tracking number to the auction the item was from), I was under the misguided impression that they were computerized. They were more than happy to have me wait a few months before telling me that that they needed me to mail them a paper version of everything that their computer already knew. I think I could have avoided that if I'd uploaded a copy under "additional evidence" at the start.

 

I'm starting to think I've been wasting money paying for insurance. I have no idea how they are going to believe me when my only evidence is some emails (which can be forged).

 

Warning, long post ahead!


Thanks for the kudos, I never know on new forums whether people "glaze" over reading my long posts.

Thad et al. to clarify: My buyer was on vacation and had her mail held while on vacation. When she got home expecting a package, nothing was there, no notification. Nothing - I put Delivery Confirmation (tracking) on everything I ship, since it is only 19 cents when you buy postage on line. SUPER CHEAP insurance! Tracking showed that it hit her Post Office and yet postal employees (with delivery confirmation (tracking) info in hand) could not find the package.

While insurance tag numbers are different than a Delivery Confirmation number, I do believe that the USPS number does provide tracking information to postal employees at a minimum - of course, that is, if the employees are scanning the bar code on the insurance tag at each stop.

More shipping advice/information (opinion) based on my experiences over the last year.


I am going to be using USPS today for a coin package going to NGC that I want insured for 6k. (I created a thread and will post each step) This will be a new education for me. What I worry about (shipping insurance wise), is what will they pay should something happen. I have documented the coins via high resolution imaging. however it could be argued that the coins are near worthless due to cleaning and because they are not yet authenticated. Video taping the sealing of the package at the PO and subsequent receipt really feels like a good idea. However I would be too embarrassed to feign that amount of analese.. Call it gut feeling, normally I wouldn't be this worried - I guess because they were my dad's coins is having an effect on my sheepishness. I digress ..... sorry!

Lastly - semi related to Thad's OP.... PayPal - I have had the time to study this service and I really feel they are the best. I know there are horror stories out there. Anyone, who periodically sells should look into their merchant account. It is very easy to use, professional looking and super fast and free. Yes, 3% really adds up, I wish it was lower and feel it is too high for the service, especially given the dollar volume they do. Who am I to say that.

Furthermore... blah blah blah... I know I already said lastly - PostScript I am of the thought, that if you use the PayPal Merchant/Premiere account to invoice a buyer

- Watch the video here https://merchant.paypal.com/us/cgi-bin/?cmd=_render-content&content_ID=merchant/online_invoicing

As long as you put a description in the invoice and use USPS delivery confirmation, that you, the seller, have near perfect coverage - in other words, "buying"(it's free) into their system has to help should a problem arise..... BTW - eBay/PayPal has a rule that requires signature confirmation of receipt for items over $250 for their full coverage.

PayPal's Seller Protection Link: https://cms.paypal.com/us/cgi-bin/?cmd=_render-content&content_ID=security/seller_protection_learn_more

There is a potential downside to a merchant account and that would be, in the event you were IRS audited. Just keep some type of documentation of your sales typical to any capital gain.



Foot note: I took a quick accounting of USPS insurance fees paid last year, best I can tell, I am about $70 ahead on claims. I probably missed some that I paid so the number is likely less. As previously mentioned, the only problems I have had were with insured packages. My thinking is, that I wouldn't have had the problems, had I not insured, Not insuring might have put me ~$300 ahead. Next year, I am only going to insure based on gut feeling, instead of insuring everything over $100

 

I had but one claim with USPS and it was turned down. The reason: Not a secure enough envelope. It was a returned coin to the seller. He saw that the corner of the envelope was torn open and asked the mail carrier to note that the contents were missing. Even though I had the envelope sealed all the way around with tape, I was told this wasn't good enough. I asked why the post office accepted it that way and was told they shouldn't. So, even with the insurance I lost $150 on the cost of the coin plus the cost of the insurance it's self. They claim, (remember it's a third party that insures the contents, not the government), I was to have used a mailer style envelope which is self adhering. I wish the postal clerk would have told me this to begin with, but perhaps he didn't know either. (New person?) I understood where they were coming from and did not pursue it further. I thought if they accepted the package as sent, it was shipped correctly and their responsibility... Nope!