Refundable Insurance
When shipping heavy, oversized, or palletized freight, having the right equipment at pickup and delivery can make a significant difference. If your location does not have a loading dock or forklift, liftgate shipping service can help you load or unload freight safely and efficiently.
At USG Ship Center, understanding additional freight services before booking can help you plan your shipment, avoid unexpected charges, and reduce the risk of pickup or delivery delays.
A Refundable Insurance is a temporary payment required for eligible shipments to support shipment security, fraud prevention, cargo protection, and delivery accountability.
Unlike a traditional insurance premium, which is generally a payment for insurance coverage, this deposit is intended to be refunded to the customer after successful delivery and confirmation of receipt, subject to the terms of this policy.
The deposit is calculated based on the full declared value of the item being transported. For example, if an item has a declared value of $1,000, the required refundable deposit would be $1,000.
The deposit is not an additional purchase price for the item. It is a separate payment associated with the shipment and is refundable once the applicable delivery and verification requirements have been satisfied.
The refundable deposit is equal to 100% of the declared value of the item being shipped.
The declared value must accurately reflect the item’s value and may be subject to verification before shipment.
The deposit is separate from standard shipping charges, delivery fees, customs duties, and any other charges disclosed to the customer before payment.
Depending on the shipment and its risk classification, the deposit may be required to support the following objectives:
Fraud prevention: Help deter fraudulent shipment claims, false delivery disputes, and misuse of shipment services.
Transport security: Encourage accountability throughout the shipment’s handling and delivery process.
High-value cargo handling: Apply additional verification procedures to shipments containing valuable goods.
Delivery verification: Confirm that the intended recipient receives the item and acknowledges delivery.
Dispute resolution: Establish a documented process for confirming delivery and resolving legitimate shipment discrepancies.
The deposit automatically constitute insurance coverage & guarantee compensation for loss or damage. All insurance coverage, exclusions, limits, and claims are included in the applicable insurance terms.
A refundable insurance may be required for shipments that meet disclosed eligibility criteria, including:
High-value merchandise or cargo.
Shipments identified for additional fraud-prevention verification.
Shipments above $1000
Shipments of wholesale third-party merchandise
Customers are informed of the requirement, the exact amount, the reason it applies, the payment deadline, and the refund conditions before being asked to pay.
The deposit becomes eligible for refund when all of the following conditions are met:
The shipment is successfully delivered to the intended recipient.
The recipient receives and inspects the delivery as appropriate.
The recipient signs the delivery confirmation or completes an approved electronic proof-of-delivery process.
Any reasonable identity or delivery verification required under the disclosed shipment terms is completed.
Once these requirements are satisfied, USG Ship Center will initiate the refund using the agreed refund method. The expected processing period and any applicable payment-provider processing times should be communicated to the recipient before payment.
Payment Deadline and Undelivered Shipments
When a refundable deposit is required, the customer must pay it within three calendar days of receiving the formal payment request, unless a different deadline is expressly agreed in writing.
If the deposit remains unpaid after the three-day period, USG Ship Center may place the shipment on hold, suspend dispatch or further transportation, or flag the shipment for review, where legally and contractually permitted.
Proposed storage and handling charge: A fee of $25 per day may apply to shipments that remain on hold after the payment deadline, but only where the charge, its start date, applicable limits, and the circumstances triggering it have been clearly disclosed and lawfully agreed to in advance.
Any daily fee must reflect a valid contractual charge, be reasonably supportable, and comply with applicable consumer-protection and transportation laws. Customers should receive written notice explaining the unpaid amount, the reason for the hold, and the steps needed to resolve it.