Posting more than £2500 with Royal Mail - NO INSURANCE GIVEN - Be aware of the liabilities

[neilsmithcoins]

On 16/07/2020 at 09:06, BackyardBullion said:

So, I have recently been having issues with Royal Mail. 

Having done some digging I feel it is my duty to share some information previously unknown to me about their Special Delivery insurance "service"

Firstly, Special delivery is the only service that will cover precious metals, coins, money, jewellery etc. 

You can get cover of £500, £1000 or £2500 for your parcel. 

I bet you didn't know however that if your parcel has a total value of £2500.01 + (even just a penny more) then your entire insurance is invalidated. Indeed you can also be on the hook for any costs and legal fee's that are incurred by Royal Mail for this parcel. 

This is taken from their general terms and conditions. 

So, be very careful and understand what you are getting yourself into if you are selling and posting coins worth more than this. 

As a business I am better suited to go to an insurance company for external cover - but for the average person and seller this is not a practical option. 

Royal Mail = Pirates. Ye be warned!

Thank you for posting this, I had a conversation with our insurers yesterday who confirmed anything over £2500 would be in breach of terms and conditions. Some dealers insurance was any parcel lost, the first £2500 would be paid by the Royal Mail the rest by the insurance company, obviously this is no longer valid and has to be covered wholly by the insurance company. I can see an increase in premiums for next years insurance.

[BackyardBullion]

2 hours ago, neilsmithcoins said:

Thank you for posting this, I had a conversation with our insurers yesterday who confirmed anything over £2500 would be in breach of terms and conditions. Some dealers insurance was any parcel lost, the first £2500 would be paid by the Royal Mail the rest by the insurance company, obviously this is no longer valid and has to be covered wholly by the insurance company. I can see an increase in premiums for next years insurance.

Wow, thanks for letting us know your situation and the impact this is having. 

I dread to think how many other retailers (not just PM's) could potentially fall victim to a lack of cover.