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Parcel Loss/Theft Insurance: The E-commerce Guide to Never Losing Money Again

Louise
June 27, 2025
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5
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TABLE OF CONTENTS

One package never arrives. Another is stolen from the doorstep. The customer is furious. Your money has evaporated. Your reputation is at stake.

If you're familiar with this situation, you know that sending a parcel is the riskiest phase of your business. Every day, thousands of parcels are lost, stolen or damaged (e.g.: in the United States, around 1.7 million parcels are stolen or lost every day during the holiday season). And in your customer's eyes, there's only one person to blame: YOU.

Stop taking these losses for granted: Losses due to lost or stolen parcels can represent up to 1% of annual sales for e-tailers, which can translate into millions of euros in losses for large companies. Loss/theft insurance is not an option, it's your e-commerce immune system.

This guide will dissect how it works, show you how it protects your cash flow and, above all, how to set it up intelligently so that it works for you, not the other way around.

What is Parcel Loss/Theft Insurance?

Loss/Theft insurance is your financial shield. It's specific coverage designed to reimburse you in full when a parcel disappears or is damaged in transit, whether in France or abroad.

But REAL e-commerce insurance goes further. It doesn't just reimburse the value of the product. Depending on the formula, it may cover :

  • The total sales price of the order
  • Initial shipping costs
  • The cost of reshipping a new product

It's 360° protection that guarantees ZERO impact on your margin.

The Mechanism: How does it work, from Subscription to Redemption?

Understanding the process is the key to mastering it. There are three simple but crucial steps.

Step 1: Subscription - Where and how?

You don't buy insurance, you choose a partner.

  • The Basic Option (The Trap): The carrier's "Ad Valorem" insurance. Often more expensive, with numerous exclusions and complex procedures.
  • The Intelligent Option (The Platform): Logistics solutions like Sendcloud integrate insurance directly into your workflow. You insure your parcels at the click of a button, at the time of dispatch, with negotiated rates and extended coverage.
  • Specialized Option: Third-party insurers like Claisy focus exclusively on this risk, offering very specific cover, optimized itineraries and integration into your tools in just a few minutes (no development required).

Step 2: Making a claim - Speed is your ally

Got a problem? Don't wait.

  1. Gather evidence: proof of shipment, order invoice, photos of damage if applicable, communications with the customer...
  2. File your claim: Ideally, via a simple, dedicated online portal (like the one offered by logistics platforms). No more paper forms and endless phone calls
  3. Follow your application: You get a clear overview of the progress of your application.

Stage 3: Compensation - The Moment of Truth

This is where the difference between mediocre and excellent insurance becomes apparent.

  • With a Carrier: You wait for the end of their (lengthy) internal investigation before expecting a refund (allow 10 to 12 weeks on average for the result of the investigation).
  • With a Specialized Solution (e.g.insurance from Sendcloud or Claisy's insurance): compensation is uncoupled from the carrier's investigation. The aim is to reimburse you as quickly as possible - sometimes in as little as 24 hours - so that you can immediately satisfy your customer.

Why Carriers' Inclusive Insurance is an Illusion of Security

It's vital to understand this distinction. Carriers' default insurance is a lump-sum indemnity, based on weight. It does not protect value.

Comparative Insurance Solutions: Which One to Choose?

Criteria Carrier's insurance (Ad Valorem) Specialist insurer (Claisy)
Basic principle Compensation is often limited and complex. Protection on the sale value of the order.
Ceiling Limited, with many exclusions (e.g. high-tech, jewelry). High and adaptable, with options for valuables.
Claims process Long, tedious (paper forms, internal surveys). Quick and easy, via a dedicated online portal.
Repayment speed Slow (several weeks/months, after carrier investigation). Rapid (often within 24-72 hours), uncorrelated with the survey.
Actual cost Appears less expensive, but may cost more if lost. Investing in safety and customer satisfaction.
Ideal for... Very low-value shipments, if no other option. Any serious e-commerce business.

Choosing the wrong column means choosing to lose money.

Best practices for a foolproof insurance strategy

  1. Automate, Don't Think About It: The best insurance is the kind you don't have to manage manually. Use a logistics platform or a specialized solution that lets you define rules (e.g.: "insure all orders over €100" - an option available from Claisy) so that protection is automatic.
  2. Compare the essentials: Don't just look at the price. Look at the ceiling, the exclusions, but above all, the promised speed of reimbursement. This is the most important criterion for your customer experience.
  3. Communicate with your customers: Be proactive. Post a clear policy on your site: "In the event of a delivery problem, we will return your order or refund your money immediately." You turn a point of anxiety into a powerful argument for trust.

In conclusion, loss/theft insurance for e-merchants is not a cost, it's a strategic investment in your profitability and reputation. By choosing a partner who offers real-value coverage, rapid compensation and automated management, you're not just protecting your parcels: you're armoring your business against one of its biggest risks.

Frequently asked questions

FAQ : Loss/Theft insurance for e-commerce
What is parcel loss/theft insurance? +

Parcel loss/theft insurance is specific coverage designed to fully reimburse e-merchants when a parcel disappears or is damaged in transit, both in France and abroad.

Why do I need loss/theft insurance for my parcels? +

Loss/Theft insurance protects your cash flow and your reputation by reimbursing the full value of the order, including initial shipping costs and the cost of reshipping a new product. This ensures that the incident has zero impact on your margin.

How does the subscription and refund process work? +

The process takes place in three stages:

  • Underwriting, where you choose an insurance partner;
  • The claim form, where you gather evidence and file your claim;
  • Compensation, where you get a quick refund to satisfy your customer.
What are the advantages of specialized insurance over carrier insurance? +

Specialized insurers offer very specific cover, negotiated rates and extensive guarantees. They also offer rapid compensation, sometimes within 24 hours, which is crucial to maintaining customer satisfaction.

How can I automate the management of loss/theft insurance? +

You can use a logistics platform that allows you to define rules for automatically insuring certain orders. For example, you can configure the platform to insure all orders over €100.

What are the criteria to consider when choosing loss/theft insurance? +

When choosing loss/theft insurance, don't just look at the price. Analyze the coverage limit, the exclusions, and above all, the promised speed of reimbursement. Speed of reimbursement is crucial to your customer experience.