I just came across this on eBay... if you sell an item on eBay and use their shipping label, then decide to insure your coins through the eBay label service, it looks like you go through ShipCover insurance (third party?). The first thing listed under insurance exclusions are coins! So, you could pay for that insurance and it will be useless... I believe, however, that the USPS will still insure the coins if you use their insurance. Can anyone confirm insurance for coins being allowed through USPS directly? So, purchasing just the shipping label on eBay (for its discount) then stopping into the post office to purchase insurance seems like the way to go... or, I guess you could purchase it all through USPS.com, but with a smaller postage discount. Or, I believe Priority Mail purchased through eBay automatically comes with up to $100 insurance (or was it $50?), but if anyone can confirm this that would be very much appreciated. And, there seems to be no discount on the insurance portion. Thanks in advance.
I believe this has been discussed before, but I understood/understand it as non-collectible coins are not insured whereas collectible coins are covered.
I did read a previous thread about the USPS and not allowing cash to be insured, but collectibles are allowed. However, how about ShipCover, which seems to be the exclusive entity that insures eBay items (perhaps a part of eBay)? It doesn't explicitly state that collectible coins are allowed. From what I've read online so far, it sounds like ShipCover does not cover original shipping costs like USPS does. And, collectible coins do not look to be covered by ShipCover based on people's testimonials. So, eBay essentially provides insurance on coins and bullion that will not cover coins and bullion at all, just to add to their bottom dollar. It is highly misleading... even if the onus is on the buyer to actively go through the terms, conditions, exclusions, etc., since I bet eBay anticipates people to not look into it. However, there's a drop down menu to select between the two when checking out on eBay, although eBay's insurance is defaulted. And, it looks like USPS insurance only covers $20 or less for coins UNLESS you mail it via Registered/Certified Mail with the appropriate insurance amount. So, if you mail a gold coin via Priority Mail with $2,000 insurance (actual value), you will only get a check for $20 or so! So, the cost of postage and insurance alone will be more than the value of the item for probably most coins sold and mailed.
It has been a few years since I've had to file a claim for a coin using usps, but they did eventually pay (was around $400 item). I shipped first class.
I'm assuming this is first class with insurance, but w/o adding registered/certified mail (I think this is a separate service that gets added to first class mail). If so, I'm not sure if there was something else going on with the other person's insurance claim. There seems to be so many loopholes. Here's what I was reading: http://community.ebay.com/t5/Archive-Shipping-Returns/Insurance-for-Coin-Sellers/td-p/2906180
Yes, first class with usps insurance. Without reading through all the posts on your link, I am not sure where you got your info. Can you quote it here for us? Unless it is from usps policy, it means nothing.
It's message #17: This is the link I read about getting only $20 or so ($20.14) back from USPS insurance: https://gold-forum.kitco.com/showthread.php?111364-Insured-Lost-GOLD-coin-and-USPS-pays-20
You can also use private insurance from a company such as Hugh Wood, Inc., and this can be much less expensive than other alternatives.
I just found this on usps... Except for Registered Mail, the maximum indemnity for negotiable items (defined as instruments that can be converted to cash without resort to forgery), currency, or bullion, is $15.00. Whatever the heck that means. I know personally I have had them pay out several hundred dollars before on coins. Seems it could be taken either way.
I think maybe the two cases I cited were paid a low insurance amount because they were classified as currency instead of a collectible, which should have a higher allowable claim amount.
Numismatic items are covered under USPS insurance on first class as well as priority and express. The shipcover option does not cover coins. You can still purchase the USPS insurance through ebay. If you purchase the insurance online at USPS.com or using PP shipping the insurance is limited to $500, but directly through ebay, they have raised the limit.(not sure to what, I haven't sold anything more expensive than $1500. Typically the USPS will deny the claim for coins at first because they are coins, but everyone I know who has appealed has eventually been paid. I believe bullion must be sent registered in order to be covered using USPS insurance. edited to add that I have shipped at least a thousand coins in the past few years using USPS and have had coins get sidetracked, but never go missing. Shipping coins in regular envelopes with no padding and no tracking/signature can probably explain quite a few of the "missing" coins that are often discussed. I have purchased coins from dealers and collectors where I'm surprised that the packages actually show up with the labels still attached.
The key I have heard before is not to ship coins. You ship numismatic collectables. Never had to try it, but they tell me those are covered without question.
Numismatic material is the key. Coins in the context means cash money from your pocket worth face value. Do check out the T&C of Shipsurance.com and U-Pic.com. Ebay might like you to think so but their way is not the only way, and rarely the best way. The best policy is self insurance. You just keep the money you'd have paid for insurance in a jar, and pay any losses out of that. Your maximum risk exposure is the average value of your sold items, there is no risk of catastrophic loss as there is with house or car insurance, so underwriting the cover yourself is a reasonable idea, and the cost can be spread over all your customers with 1% of your average item value included in the shipping and handling charge. Of course, the money that would have provided the insurers with a profit and covered their costs remains in your pocket, and there is no wrangling over claims.
I use USPS and have always been able to insure the coins I mail because the are "collector" coins. Never had a problem. They just ask if you can prove the value in case a claim is made.
So, in summation: - If you choose insurance through eBay, never select the default ShipCover insurance, as they do not cover any coins (numismatic or currency). Actively select USPS insurance in the drop down or go to the post office directly. - If there is ever a USPS insurance claim, the coins should be claimed as numismatic/collectible and not currency/coin. If it's the latter, unless you have Registered Mail, even with a higher insurance amount you will only be covered up to $15. If it returns as a currency case, appeal it as a collectible. - Other options: self-insure or select other insurance providers, while reading the terms carefully.
So, in summation: - If you choose insurance through eBay, never select the default ShipCover insurance, as they do not cover any coins (numismatic or currency). Has it been established definitively that this is the case with Shipcover, by asking the company? Or is it all hypothesis based on the exclusions noted in the original post? For numismatic items the 'coins' may well have no exchange value whatsoever, since they have been de-monitised (like British sixpences) of have utterly trivial value as spending money like a rare cent. Or any ancient coins or coins from governments that no longer exist.
