Skip to main content

Closed16 replies

Auctiva Shipping Insurance vs. USPS Insurance -WRONG!!!!!!

S soldittodayMember
On the comparison chart labeled "Auctiva Shipping Insurance vs. USPS Insurance"
the first column is titled "Insurance Coverage (Auction's Closing Price)"
This is not accurate. It is in fact (Auction's Closing Price + the S&H charged)

This is a FALSE comparison between USPS and Auctiva as USPS does not charge to insure the shipping cost.

In other words...

So if I sold an item for $45 and shipping was $7 USPS would charge $1.35 for up to $50 in coverage shipping but Auctiva would charge $2.20 ($1.70) for basically the same coverage.

Also, the USPS and UPS give the option to select the amount of coverage. Does Auctiva? In other words in the above scenario would I have the option to select just $50 of coverage? Or if I sell something and the combined shipping and cost is $100.01 am I stuck paying an extra $0.75($2.45 - $1.70) for $0.01 of coverage?

eBay's checkout and shipping calculator is set inline will all the major shippers so your buyers would get a SUPRISE if you use Auctiva's checkout and you would be short changed and loose money if you try to purchase insurance manually from Auctiva afterward.


Does anyone else think there is something wrong here?
Original Post

Replies sorted oldest to newest

A auctivamikedAuctiva Customer Support Manager
Hi SoldItToday,

The reason we require that the shipping charge be included in the shipping insurance policy is so the buyer is insured for ALL of the money paid for an item. This is especially important on eBay when so many sellers charge high shipping costs that are often greater than the price of the item being sold.

Our insurance policies cannot be based on stated value as they can be at the post office. The amount of the policy is always exactly the total of the end of auction value and the shipping cost.

-Mike
S soldittodayMember
USPS will refund the shipping cost and pay the claim. So it is not an apples to apples comparison.

As a minimum the chart needs to be updated to accurately reflect the comparison. As it is presented currently it is inaccurate and very misleading. In most cases Auctiva users will loose money compared to just purchasing insurance through USPS.
C cakethingsMember
I think what Mike is referring to is the number of sellers who have high handling fees. (Correct me if I am wrong, Mike.)

Situation 1:

Item worth roughly $30
Sold for $30
Shipping cost $5
Seller's handling fee $2
Total amount paid by buyer: $37 - very close to the item's value.

Situation #2:
Item worth roughly $30
Sold for $5
Shipping cost $5
Seller's handling fee $25
Total amount paid by buyer: $35 - much more than the item's value.
S soldittodayMember
Mike,

Thank you for that information. I really like Auctiva and ideally, I would like to use Auctiva for insurance. I would like them to provide the discount/advantage that they advertise.

If it is not in Auctiva's business plan to be competitive with USPS then I would like them to not mislead other eBay sellers to thinking they are saving money when they are clearly not.

In other words please ask Bill to either correct the policy and be more competitive or correct the misleading chart labled "Auctiva Shipping Insurance vs. USPS Insurance" to acuratly reflect Auctiva's rates.

Thanks
Mitch
S soldittodayMember
quote:
Posted June 05, 2006 08:02 PM
Well, I would like to say that I do use Auctiva shipping insurance whenever possible, and I do save money in comparison to USPS insurance rates as well as Stamps.com insurance rates.

So Auctiva is not being "misleading".
Posts: 179 | Location: Northern Colorado | Registered: January 10, 2006



Cakethings,
Thank you for your reply. Purhaps I am wrong. Please list the last 5-10 insurance purchases you have made. Please include the auction end price, the shipping charged and the amount you paid Auctiva. For example,
Auction End Shipping Insurance(Auctiva)
$47.25 $5.75 $1.70


Thanks
Mitch
C cakethingsMember
1)
Auction End Price: 37.00
Shipping Charged: 10.90
Shipping Cost: 10.40
Insurance Charged: 1.35
Auctiva Insurance Cost: 1.05
USPS Insurance Rate: 1.35

2)
Auction End Price: 22.95
Shipping Charged: 9.00
Shipping Cost: 8.50
Insurance Charged: 1.35
Auctiva Insurance Cost: 1.05
USPS Insurance Rate: 1.35

3)
Auction End Price: 49.20
Shipping Charged: 8.95
Shipping Cost: 8.45
Insurance Charged: 1.35
Auctiva Insurance Cost: 1.05
USPS Insurance Rate: 1.35

4)
Auction End Price: 4.25
Shipping Charged: 4.55
Shipping Cost: 4.05
Insurance Charged: 1.35
Auctiva Insurance Cost: 1.05
USPS Insurance Rate: 1.35

5)
Auction End Price: 4.65
Shipping Charged: 4.55
Shipping Cost: 4.05
Insurance Charged: 1.35
Auctiva Insurance Cost: 1.05
USPS Insurance Rate: 1.35

Off the top of my head, I think that stamps.com charges 1.17 for coverage up to $50.
S soldittodayMember
Cakethings,

Thank you for your reply.

Case 3 is a great example of how Auctiva is misleading. Please double check your Auctiva charges and correct me if I am wrong. The total (Auction + Shipping and Handling + Insurance) is what Auctiva basis the insurance on so you would have purchased (49.20 + 8.95 + $1.35) $59.50 of insurance and Auctive charges $1.70 for $50.01 -$100 of insurance. USPS would only charge $1.35 for insurance on the purchase $49.20. And they will refund the shipping with a claim.

So, Clearly USPS is less expensive in this case.

The total on Case 1 is very close at $48.25($37.00 + $10.90 + $1.35). If you would have had one more bid or the buyer was a little further away (shipping higher) this would have resulted in the same situation.


Thanks
Mitch
C cakethingsMember
Sorry Mitch, but you are wrong. I took those numbers straight off my insurance details generated by Auctiva. I paid $1.05 for insurance on the item in question.

As far as USPS refunding the shipping... Auctiva may not do that, but I am making 30 cents every time a customer uses insurance. Most of my items ship for approximately $5. This means that if I ship roughly 17 insured boxes, I have generated enough revenue to cover the cost of shipping another box, if necessary.


quote:
Originally posted by SoldItToday:
Cakethings,

Thank you for your reply.

Case 3 is a great example of how Auctiva is misleading. Please double check your Auctiva charges and correct me if I am wrong. The total (Auction + Shipping and Handling + Insurance) is what Auctiva basis the insurance on so you would have purchased (49.20 + 8.95 + $1.35) $59.50 of insurance and Auctive charges $1.70 for $50.01 -$100 of insurance. USPS would only charge $1.35 for insurance on the purchase $49.20. And they will refund the shipping with a claim.

So, Clearly USPS is less expensive in this case.

The total on Case 1 is very close at $48.25($37.00 + $10.90 + $1.35). If you would have had one more bid or the buyer was a little further away (shipping higher) this would have resulted in the same situation.


Thanks
Mitch
S soldittodayMember
Cakethings,

Thank you for your reply.

To confirm you are refering to Case 3 in which the total was 49.20 + 8.95 = $58.15

I find that very suprising here is a direct cut and paste from my account:



Transaction Details


Quantity
Title
Item
Cost
Total

1
Dish Network DP-301 DP301 Receiver Yellow Card Remote
9708779206
$46.22
$46.22



Subtotal:
$46.22

Sales Tax:
$0.00

Shipping:
$16.22

Shipping Insurance:
$0.00

Adjustments:
$0.00

Total:
$62.44


If the information above does not reflect the current state of the transaction, please use the button below to import the most current data from eBay.






Purchase Auctiva Shipping Insurance


Amount of insurance: $62.44
Cost of insurance: $1.70
Please confirm that you would like to purchase $62.44 of insurance for $1.70. The $1.70 will be due to Auctiva.


Please provide a direct copy and paste as I am very confused.

Thanks
Mitch
S soldittodayMember
Please see this quote from Auctiva support under the thread titled
"USPS Rates for Shipping Insurance"



quote:
Originally posted by Auctiva Mike D.:
Hi SoldItToday,

The reason we require that the shipping charge be included in the shipping insurance policy is so the buyer is insured for ALL of the money paid for an item. This is especially important on eBay when so many sellers charge high shipping costs that are often greater than the price of the item being sold.

Our insurance policies cannot be based on stated value as they can be at the post office. The amount of the policy is always exactly the total of the end of auction value and the shipping cost.

-Mike
Post
Copyright © 1999-2018 Auctiva.com. All rights reserved.

Membership Required

We're sorry. You must be signed in to continue. Sign In or Register
×
Are you sure you want to remove from your Block List?
×
Loading...
×
When you block a person, they can no longer invite you to a private message or post to your profile wall. Replies and comments they make will be collapsed/hidden by default. Finally, you'll never receive email notifications about content they create or likes they designate for your content.
Note: if you proceed, you will no longer be following .
×
Advanced Search
Advanced Search
Link copied to your clipboard.
×