That is a strange one.  Last time I checked, Ebay still had a spot on their invoice to offer the option of insurance to a buyer for an additional fee.

Also, even though their recommendation is to put it into the starting price of the auction. they also still state it is a valid "handling expense":

Handling cost: This can include the cost of packaging materials and insurance cost, if any.

Not really very surprising that Ebay has inconsistencies within their policy.

I'm with Guy on that front.  The one time I paid for insurance and received a damaged item, the seller was absolutely no help and the post office wasn't either.

I shipped back a bad laptop the other day by UPS and they asked if I wanted insurance.  Their rate was $4.50 per $100 so to insure the $1500 machine would have been almost $70.

I agree that the seller is responsible to get the item delivered safely.  The buyer pays, that's it.


I guess I'm just trying to understand why the buyer shouldn't have to pay for insurance.  They pay for shipping.  It's okay for them to pay for services (some of which are far more expensive than simple insurance - registered mail, anyone?).  But having the buyer for the insurance is out.  That's weird.


I also agree with Guy, but I like insurance on expensive items for a different reason.  I feel like it creates one more barrier to "you never sent it" / "I never received it."  With just delivery confirmation, it's only Paypal/Ebay policy backing you up.  But if there is an insurance claim involved, it better be real, otherwise there is the potential for postal fraud.  Severe legal penalties tend to stomp out idiots' false claims instantly.

Is it a severe problem?  No.  And, statistically, I'm sure it's still better to eat that rare loss.  But I just can't let a liar win.    So when I buy or sell above a certain level (generally $100) I tend to opt for insurance.

Just remember, insurance protects the SELLER not the buyer.

Sellers always make the buyer pay for insurance and when I buy something over $100 I always request the price with insurance to ship it, but it doesn't protect me as the buyer one bit.

If an item arrives in any other condition than the listed/sod condition, I can file a complaint and get my money back .. no questions... so who's out the money without insurance - seller

If the item never arrives, again I can file a complaint and get my money back, and who's out out the money without insurance - seller

And who HAS to file the insurance claim - seller (because they actually made the purchase of the insurance, not the buyer)

So insurance, tough mostly paid for by the buyer, only protects the seller...

I ALWAYS include insurance for all transactions, especially over $100 and thus require a signature by default.

Yeah, eBay are trying to say that you can charge for insurance and you can provide it as you see fit, but you have to place it in your shipping and handling fee. What used to happen before was sellers would offer 'optional insurance' at an extra charge and then when something went wrong say, "You didn't pay for optional insurance to fuck you!" EBay have moved away from this means of trying to screw buyers by placing the entire responsibility and risk onto the seller. Whether the seller wants to pay for it or not, and whether he wants to charge for it or not, is entirely his choice. What he cannot do is pass the decision and responsibility back to the buyer.

I just say in my auctions, 'All packages will be fully insured and shipped recorded delivery.' It is a requirement of PayPal's Seller Protection Policy anyway. Buyers always have the option to buy from a cheaper seller, and one who won't insure or track shipments, and that's entirely their choice.

In the grand scheme of things the market will balance itself out anyways. I'd be willing to bet in five years we're all listing things with 'free shipping' and just bundling shipping, insurance, packaging and handling, into the BINs. EBay are making a big effort to move away from an auction model to a retail model, and anything that is S&H is something they don't get their 20% cut on. They'll be stamping that out.

Makes me laugh, the idiots who buy from ebay when its cheaper elsewhere!

Makes me laugh, the idiots who think everything can be found on eBay.