April 11, 2022

Shipping Insurance: A Small Fee For Peace of Mind

Has your business ever shipped a product out to a customer/client only to have it become damaged upon arrival? Maybe it got lost and the customer never received it? These scenarios can be a headache when it comes to costs and customer service. Even when it’s not your business’s fault that something like this happened, you will still be held accountable and be expected to pay to fix the issue.

This is where shipping insurance comes in.



Shipping insurance is a small up-front fee that gives you peace of mind that your business’s image will not be tarnished by any shipping related mishaps. For example, when a product is shipped to a customer and it does not reach its destination, shipping insurance guarantees that you will not pay for this and rather the delivery company or retailer will be held responsible.


A poor shipping experience is more than just about eating costs, it’s about your business’s reputation. Customers are more likely to stop doing business with you if your shipping experience is bad, therefore shipping insurance isn’t just about protecting your products and bottom line, it’s about your reputation. Are you willing to lose customers over a lost/damaged product that you had no control over?


This is highly dependent on your business and the frequency of shipping. It’s simple probability; the more you ship, the more likely that something can go wrong. It’s often better to invest in shipping insurance if you ship a large number of products simply because you want to avoid the ire of hundreds of customers all at once.

If you ship particularly expensive products, it would be wise to use shipping insurance as well. Nothing would be more frustrating and expensive than having to cover the costs of an expensive product. Let alone have to deal with a customer who will be expecting some form of compensation for a lost product they had already paid for.


The last year has shown us multiple crises that may affect shipping. Whether it’s due to a worldwide pandemic or perhaps a blockage of an important trade route, there are multiple factors that could affect your shipments, all of which are completely unexpected. This is another major reason as to why you should consider shipping insurance. You simply do not want to be caught in a situation that you had no control over and did not have the ability to foresee.


Shipping insurance is a great way to ensure the following:

  1. Your reputation stays in tact
  2. You do not eat the costs of unexpected delays or lost items
  3. You have continuous peace of mind

There are multiple shipping companies that offer shipping insurance, so your choices are wide and varied. It’s often best to shop around to see which company offers the best bang for your buck. You might want to consider looking into third party shipping insurance companies because they may offer rates that are cheaper than those offered by the shipping companies themselves.

Watchdog Management Services can help find you the best costs within this industry, especially when it comes to your business’s specific needs. Get in touch today and we’ll make sure that your business’s reputation stays in tact!



A small price to pay for your reputation

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