What do I do with a FedEx claim denial?


Well, I have just had my first bad experience with FedEx. I recently sent an item back to the manufacturer for service and the remote was damaged during shipment. I asked for a letter from the manufacturer confirming the damage and the $200 replacement cost. The package was insured for $1000. I sent the letter in with the claim form to FedEx. As expected, FedEx denied the claim. The remote came loose from its compartment in the foam packing material during shipment and cracked. There was no visable damage to the box. What recourse do I have other than to get a lawyer? Hardly seems worth the effort for $200. I definately plan to cancel my FedEx account but then I will have to use UPS which is probably worse. Isn't this kind of thing the reason you buy insurance?
mchd1

Showing 4 responses by herman

Viggen,

If my examples distort what you intended to say, then I apologize. However, "no matter what the quality of packaging is" seems very clear to me. I believe my examples simply illustrate the problem with your position.

I am not a lwayer. But it looks to me like you are the "piece of work". You admit that it was not packaged properly and still expect FedEx to pay? How in the world do you come to the conclusion that FedEx is responsible for your inability to properly package the item?
I also think that Viggen is way off base on this one. If FedEx paid on anything damaged no matter how it was packaged, they would either soon be out of business or insurance would be very, very expensive.

People would go into business just shipping stuff to be damaged to collect on insurance. Let's see how we can make some money.

1. Go to antique stores and buy damaged porcelain at a low price. Put it in a box with a very heavy item with no padding and insure it for the value of perfect piece. When it arrives in small fragments, collect!

2. Buy TV sets that don't work and then put them in flimsy boxes with the picture tube facing down. When it arrives with the tube broken, collect!

Don't think that wouldn't happen. People rip off insurance companies for millions of dollars annually in false claims. This would just be too easy to pass up.

However, Mchd1 makes a very valid point. They sell this coverage as insurance but it is not insurance in the usual sense of the word. Most people consider insurance as something that covers losses no matter what. Even if the car wreck is your fault, your insurance company has to pay. They may cancel you later, but they have to pay. The shippers should do a better job of explaining what they are selling.

I prefer to use UPS because they offer a packing service for about $20. They put it in a heavy box and surround the component with that expanding foam in plastic. The beauty is, they cannot deny a claim for improper packing because they did it. Maybe $20 is a lot for insurance, but if you need a box and packing anyway, it is really pretty cheap.
Viggen,

I agree they should honor whatever agreement they have entered into. The "Terms and Conditions" that is part of every airbill states in part "We won't be liable for your acts or omissions, including but not limited to improper or insufficient packing" That seems pretty clear to me also. Pack it correctly or they won't pay. The question then becomes what is "improper and insufficient packing?" It is my contention that if part of what you are shipping is moving around in the box, it is not properly packed.

In any case, I'm off on vacation for a few weeks and can't concern myself with such things for a while. Good luck to Mchd1 on whatever avenue you decide to pursue.

Regards