Shipping insurance for guitars

klaatu

Hi everyone -

Got an interesting new problem. When I ship a guitar from Canada to the US, Canada Post will only give me $1000 insurance on it, so I have been getting supplemental insurance from U-PIC online. First time I used them, I got $4000 over and above the Canada Post amount. I shipped one late last year, and discovered they had lowered the limit to $2000. Yesterday I shipped a guitar and found that they now max out at $1000! This is pretty much true of the other companies I have checked out.

Does anyone else have a solution for this? Homeowners insurance typically does not cover shipping. I really don't like to use UPS or FedEx for various reasons, one of which is their ridiculously high customs clearance charges (Canada Post charges me $5 on the receiving end, and I think USPS is very low as well). Michael Horowitz insures all of his guitars through his business, so that does not apply here.

Joli Gadjo

I sent a guitar recently, and when I compared UPS and Fedex, I realized that Fedex had a limit as well. I forgot whether it was $200 or $1,000, but it was too low anyway. UPS will insure to the amount you want, which is the one I used. USPS will provide insurance up to $5,000. I remember Michael advising me to use usps, because as good as others and probably a bit cheaper. Which I have done a couple of times to send guitars to him.

You mentioned something about Customs Clearance: does the amount declared has to match the amount insured?

Passacaglia

Joli Gadjo wrote:

I sent a guitar recently, and when I compared UPS and Fedex, I realized that Fedex had a limit as well. I forgot whether it was $200 or $1,000, but it was too low anyway. UPS will insure to the amount you want, which is the one I used. USPS will provide insurance up to $5,000. I remember Michael advising me to use usps, because as good as others and probably a bit cheaper. Which I have done a couple of times to send guitars to him.

You mentioned something about Customs Clearance: does the amount declared has to match the amount insured?

My first thought as well, Ben, USPS, because it insures $5000 (actually $25000, for registered mail). Is the problem that you can't utilize USPS, because of your point of origin (I really don't know how Canada post and USPS work out arrangements like this)?

Bones

I think when you ship into the US from another country, the shipper (i.e. DHL, etc) will turn the shipping over to USPS when it enters the US???

klaatu

Passacaglia wrote:

My first thought as well, Ben, USPS, because it insures $5000 (actually $25000, for registered mail). Is the problem that you can't utilize USPS, because of your point of origin (I really don't know how Canada post and USPS work out arrangements like this)?

Yes, Canada Post hands off to USPS, but Canada Post rules apply. Because it's an international shipment, max is $1000.

klaatu

Bones wrote:

I think when you ship into the US from another country, the shipper (i.e. DHL, etc) will turn the shipping over to USPS when it enters the US???

Foreign post offices will generally hand off to USPS. UPS and FedEx do not.

klaatu

Joli Gadjo wrote:

You mentioned something about Customs Clearance: does the amount declared has to match the amount insured?

If the declared amount is less than the insured amount, eyebrows will be raised, at the very least. The legal thing to do is declare the actual value for customs, even If it is worth more than the insured value, because declared value is what customs will base their charges on. Declaring for less than the actual value will save you money, but it is highly illegal and could lead to fines and possible confiscation if they decide to inspect the shipment. Use your own judgment.

MarkA

It may vary with insurance companies, but check to see if you can buy a personal articles rider to your homeowners or renters insurance. Several years ago UPS lost a blond Epiphone Emperor. State Farm paid me quickly and for the insured value. They dealt with UPS, while it wasn't pleasant for me, once it was turned over to my insurance company the stress was over. It's pretty cheap too.

klaatu

Good point, Mark. I do have a rider on some of my instruments, but I don't actually have a copy of the policy itself anymore. I'll have to check with my broker to see what's actually covered.

Joli Gadjo

klaatu wrote:

If the declared amount is less than the insured amount, eyebrows will be raised, at the very least. The legal thing to do is declare the actual value for customs, even If it is worth more than the insured value, because declared value is what customs will base their charges on. Declaring for less than the actual value will save you money, but it is highly illegal and could lead to fines and possible confiscation if they decide to inspect the shipment. Use your own judgment.

Thanks but I wasn't thinking of something illegal, but quite the opposite.
Since we were talking about cases where the insurance is maxed out at $1,000, is that a pb to declare more? I guess not.

klaatu

Joli Gadjo wrote:

Thanks but I wasn't thinking of something illegal, but quite the opposite.

Of course you weren't. Perish the thought!

Joli Gadjo wrote:

Since we were talking about cases where the insurance is maxed out at $1,000, is that a pb to declare more? I guess not.

No, that should not create a problem.