When consumer investigator Dale Cardwell says, “this could happen to you” — he means it.
Just ask Lisa Kruger.
All she wanted to do was send her daughter a meaningful wedding gift: a cherished set of fine china from her own cupboards. But what started as a sentimental gesture quickly spiraled into a shipping nightmare that cost her nearly $4,500 — and exposed a loophole in the shipping industry that most consumers have no idea exists.
The Perfect Wedding Gift…Until It Vanished
Lisa carefully packed up the dishes at a neighborhood shipping store in Los Angeles. Like many people, she paid extra to have the packages insured before they were sent across the country to her daughter in New York via FedEx.
Everything seemed routine — until it wasn’t.
Tracking showed the packages were delivered and signed for by someone named S. Smith. But there was just one problem: no one in Lisa’s family knew an “S. Smith”.
Worse yet? These weren’t stolen from a front porch like so many package thefts. According to surveillance footage and police reports, these items were swiped straight from within FedEx’s own distribution center. The thief? Caught on camera. The getaway car? Captured on video with a clear license plate.
It was as if Lisa had solved her own mystery. All that was left was for FedEx to honor her insurance claim.
But that’s where things took an unexpected turn.
The Insurance Loophole You’ve Probably Never Heard Of
When Lisa filed a claim with FedEx for her $4,500 loss, their response was stunning: Not our responsibility.
Why? Because according to FedEx, Lisa’s packages weren’t actually insured through them. Instead, the shipping store she used had placed the coverage through a little-known third-party company called Parcel Guard.
Parcel Guard is a shipping insurance company that some independent stores use because it’s less expensive than FedEx’s own coverage. There’s just one catch — the insurance contract was between Parcel Guard and the shipping store, not Lisa. And Parcel Guard refused to even speak with her.
To make matters worse, Lisa noticed her receipt didn’t mention FedEx insurance or a declared value at all — just vague language about “coverage.”
At this point, who was responsible? FedEx said not them. Parcel Guard said talk to the store. And the shipping store? Initially, they didn’t offer much help either.
It’s easy to see why Lisa — like many consumers — suspected this could have been an inside job.
So, Who Actually Pays When Packages Disappear?
This case shines a glaring light on an issue most consumers overlook: when you ship valuable items, who’s really on the hook if something goes wrong?
The answer isn’t always clear — and it’s rarely in your favor unless you know exactly what to ask for.
Here’s what experts recommend:
- Always ask who the insurance carrier is before you ship. Is it FedEx? UPS? Or a third party?
- Read the fine print on your shipping agreement. What’s the claims process? Who do you deal with if something goes missing?
- Insist on a declared value on your package if you want the shipping company itself to be liable.
- And perhaps most importantly — keep every receipt and document everything.
Lisa eventually got justice — but not without a fight. After TrustDALE got involved, working with FedEx and the shipping store’s corporate office, the store agreed to take responsibility and reimburse her for the missing china.
Protect Yourself Before You Ship
This story is a cautionary tale — and a reminder that when it comes to shipping valuables, assumptions can be costly.
Shipping that family heirloom or valuable item soon? Don’t leave your peace of mind to chance:
- Ask about insurance — and get it in writing.
- Verify who will handle your claim if disaster strikes.
- And remember: cheaper insurance might save you a few dollars upfront but leave you empty-handed later.
Because as Lisa learned the hard way — this could happen to you.
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