Shipping insurance isn't mandatory but ultimately, the choice to purchase shipping insurance is up to the individual business owner and should be based on a careful assessment of the specific risks and requirements of their operations.
Shipping insurance is typically not mandatory or a legal requirement in most cases for retailers, merchants, or third-party logistics companies.
However, many businesses choose to purchase shipping insurance to protect their goods while in transit against the risk of damage, loss, or theft of goods during transportation. The decision to purchase shipping insurance depends on various factors, including the value and nature of the goods being shipped, the shipping destination, the shipping method used, and the risk tolerance of the business owner.
Some businesses may opt to self-insure for smaller shipments or use shipping carriers that offer limited liability coverage as part of their services. However, for high-value shipments or shipments prone to greater risks, purchasing shipping insurance may be considered essential to mitigate potential financial losses and protect the bottom line.
Ultimately, the choice to purchase shipping insurance is up to the individual business owner and should be based on a careful assessment of the specific risks and requirements of their operations.