Delivery Insurance
This is a new one on me. I was looking through some eBay stuff and saw a store's delivery policy. They stated:
'Delivery insurance With all our listings we offer optional postal insurance. This is to cover items lost in transit and damage occurred during delivery. **important** If your item gets lost in transit by Parcelforce or Royal Mail and you have not selected the optional insurance we cannot reimburse you for it. It is up to you to track and trace where the item is and claim for any losses from the courier company direct. If you do select the extra insurance then we will reimburse you in full if the item is lost. The above policy applies for damage occurred whilst with the courier company.'
I don't think I've seen that before. How legal or otherwise is it?
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Can I charge the consumer the cost of insuring items that I send out?
3.20 No. These items belong to you until they have been accepted by your consumer. So you cannot charge your consumers for carrying risks that you should bear. See paragraph 3.36 for more information.
Can a consumer cancel an order before they receive the goods or where goods are lost in transit?
3.35 Yes. Where the DSRs give consumers rights to cancel, this right is unconditional. If consumers cancel before they have received the goods you must refund the total price of the goods, including any delivery charges. Consumers who have cancelled under the DSRs may refuse to accept delivery of the goods. Refusal in such a situation cannot be treated as a breach of contract.
3.36 Where goods are lost in transit from you to the consumer you will need to either send new goods or offer the consumer a full refund, including delivery charges. See paragraph 3.20 for more information.
http://www.oft.gov.uk/shared_oft/business_leaflets/general/oft698.pdf
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