FedEx
Insured $1500 and $400 Returned Items Missing, Claims Denied

FedEx Ground is perpetrating fraud, accepting payment for insurance at the declared value and then denying claims based on a vaguely worded limit-of-liability clause buried in its terms of service.

We discovered this after two items, with insured values of $1500 and $400, were shipped back via FedEx Ground to the original sender (one of the shopping channels). The packages arrived back at the original shipper torn open and the items missing (they were both small jewelry items). Despite the insurance we purchased at the time of shipping the items back using our MyFedEx account on their website, FedEx denied paying our claims, despite the obvious FedEx pilferage. FedEx based their argument on the paragraph below.

From the FedEx website:
Unless preapproved, customers authorizing FedEx NetReturn and FedEx Return Manager Ground services are limited to $100 against loss or damage. All other terms and conditions related to FedEx Ground's claims regulations shall apply for packages shipped via FedEx NetReturn or FedEx Return Manager Ground.

We were fortunate that the items had been purchased via credit card and we were able to dispute. The credit card company had no problem understanding our point: how can you charge for insurance up to the stated value and then deny a claim based on a $100 limit if you accept payment for increased insurance limits?

FedEx refused, sending only $100 per claim, the original shipping. To add insult to injury, they kept the insurance fees we had paid. We got nowhere with FedEx, despite complaining repeatedly to supervisor upon supervisor.

It seems you are protected if you ship your items via the counter at FedEx, but not via your account for FedEx Ground at their website.

Beware.

Company: FedEx
Country: USA
State: Tennessee
City: Memphis
Address: 4444 Delp St
Phone: 8007623725

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