I'm sure one of our other active sellers can help you with question #1.
As for #2, if you have the option enabled for Auctiva insurance and the buyer did purchase shipping insurance, Auctiva will automatically purchase it for you. No need to buy or do anything extra. You can find out more info on our help page. Click on the "Shipping" link in the FAQ to expand the questions on insurance.
http://www.auctiva.com/free_auction_software_help/help.aspx
-Kevin