NTI issues warning over uninsured goods purchased online

Advice comes amid Black Friday sales
NTI issues warning over uninsured goods purchased online
INSURANCE NEWS
By Roxanne Libatique
25 Nov 2020

As Australians take advantage of the Black Friday sales, transport and logistics insurance expert NTI has emphasised the importance of insuring goods as those purchased online might not be protected during transit.

Last year, Finder reported that 13.8 million Australians planned on shopping during the Black Friday and Cyber Monday madness. It also revealed that three million parcels were delivered on December 16, and up to two million parcels every day for the two weeks following.

As COVID-19 forces everyone to stay at home, consumers have resorted to online shopping. However, NTI chief executive officer Tony Clark warned that most goods ordered online aren't insured during transit.

“At the moment, most postal or parcel services and retailers don't automatically insure goods shipped and delivered, which leaves Australian consumers open to a confusing grey area,” Clark said.

“As consumers, we tend to assume that if we buy goods here in Australia, they'll be delivered, but sellers aren't necessarily obligated to cover goods on delivery. They may leave it for the buyer/receiver to work it out.”

Clark said the e-commerce industry continues to evolve as more customers adopt online shopping amid the pandemic, with several freight movers and marketplaces already partnering with insurers for shipping and delivery insurance.

NTI's shipping and delivery insurance, for example, is available for consumers, transits within Australia, and retailers.

“It's a full accidental damage or loss cover that starts at $15 and is available for items valued at up to $50,000, whether they're carried by vehicle, train, vessel, aircraft, or postal service,” Clark said.

“It's peace of mind that what you've bought is covered from the time it leaves the store or depot to it arriving at your door, and if you do need to make a claim, it is dealt with here by a team based in Australia.”

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