If you ship physical products in the US and want to protect parcels against loss, theft, or damage, EasyPost Insurance and InsureShield (from UPS Capital) are two of the most credible options. Both are merchant-paid, both are backed by real underwriters, and both offer APIs so you can insure shipments programmatically instead of filing paper claims one at a time.
They are not the same product, though. EasyPost bundles insurance into a broad multi-carrier shipping platform with simple flat-rate pricing. InsureShield is a dedicated insurance product with pay-as-you-go rates that are often lower and a claims operation built specifically for high volume. The right answer depends on your average order value, your claim frequency, and how much engineering time you want to spend wiring it up.
EasyPost vs InsureShield at a glance
| Feature | EasyPost Insurance | InsureShield | Via Insurrl |
|---|---|---|---|
| Pricing | 1% flat of declared value | Pay-as-you-go, ~0.5–0.8% | Carrier liability first, then cheapest provider |
| Max coverage | $5,000 (up to $15,000 custom) | High limits, configurable | Routed to the provider that fits the value |
| Claims speed | Reviewed in 48hrs, payout ≤10 business days | ~97% of claims paid in 5 days | Inherits the chosen provider's SLA |
| Carrier support | All carriers EasyPost supports | Multi-carrier | Multi-carrier across every connected provider |
| API available | ✓ | ✓ (V2/V3 Direct, Channel Partner) | ✓ One API for all |
| Jewelry / specialty | ✕ excluded | Some specialty excluded | Routed to a provider that covers it |
| Best for | Stores already on EasyPost shipping | High-volume shippers chasing lowest rate | Anyone who wants the cheapest valid option per parcel |
EasyPost Insurance overview
EasyPost's biggest advantage is simplicity. If you already use EasyPost to buy labels and track shipments, adding insurance is a single parameter on the shipment — you declare the value and pay a flat 1% of that declared value. Coverage runs up to $5,000 out of the box, and custom arrangements can extend that to $15,000.
Claims are handled digitally and move quickly by industry standards: claims are typically reviewed within 48 hours, with payout landing within 10 business days of approval. Because it sits inside EasyPost, coverage applies across every carrier EasyPost supports, so you are not locked to a single shipping company.
The main limitations are the exclusions and the flat rate. EasyPost Insurance excludes jewelry, coins, personal goods, and gifts, so if those categories are core to your catalog you will need another provider for them. And at a flat 1%, low-value parcels can be overpriced relative to their actual risk — a $40 order rarely needs a paid insurance policy when carrier liability already covers it.
InsureShield overview
InsureShield, the parcel insurance product from UPS Capital, is built for merchants who ship a lot and care about unit economics. Pricing is pay-as-you-go and typically lands in the 0.5–0.8% range — meaningfully cheaper than a flat 1% at scale. Despite the UPS name, it is genuinely multi-carrier, so you can insure FedEx and USPS shipments too.
Where InsureShield really stands out is claims throughput. UPS Capital reports roughly 97% of claims paid within 5 days, which matters a great deal once you are filing dozens of claims a month. It also exposes several APIs — V2 and V3 Direct for merchants integrating directly and a Channel Partner API for platforms — so it can be embedded into custom checkout and fulfillment flows.
The trade-offs: onboarding is heavier than dropping a flag into an existing EasyPost call, and like every provider it has its own list of excluded specialty items. For a high-volume store, the lower rate and fast claims usually justify the extra integration work.
The real question: why choose just one?
Picking "EasyPost or InsureShield" frames the decision wrong. The cheapest, safest policy for any given parcel depends on that parcel — its declared value, the destination, the product category, and whether carrier liability already covers it. A single provider can only ever be the best choice for a slice of your shipments.
This is the problem Insurrl solves. Insurrl is a multi-provider parcel insurance API — think "EasyPost for insurance." Instead of replacing EasyPost or InsureShield, it routes between them (and other providers) through one integration. The key difference is that Insurrl checks carrier built-in liability first, and only reaches for paid private insurance when the carrier's coverage is not enough.
Insurrl's take: Carriers like USPS, UPS, and FedEx already include roughly $50–100 of liability per parcel. For a low-value order, that built-in coverage is often plenty — paying a flat 1% on top of it is wasted money. Insurrl uses carrier liability first and only buys private insurance (EasyPost, InsureShield, and others) as a fallback when the declared value exceeds what the carrier covers. You get the right policy per parcel, not one blanket rate.
Frequently asked questions
Is InsureShield cheaper than EasyPost Insurance?
Usually, yes, at volume. InsureShield's pay-as-you-go pricing typically runs 0.5–0.8% of declared value versus EasyPost's flat 1%. The gap is small on a single parcel but adds up quickly across thousands of shipments. That said, EasyPost wins on integration speed if you already use it for labels.
Can I use both EasyPost and InsureShield together?
You can, but managing two integrations, two rate tables, and two claims processes is overhead. Insurrl lets you connect once and route each parcel to whichever provider is best — including using free carrier liability for the cheap stuff before either paid option kicks in.
What about jewelry and high-value or specialty items?
EasyPost Insurance excludes jewelry, coins, personal goods, and gifts, and InsureShield excludes certain specialty categories too. If you ship these, you need a provider that covers them. Routing across multiple providers is the cleanest way to make sure every category has a valid policy.
How fast do claims actually get paid?
EasyPost reviews claims within about 48 hours and pays within 10 business days of approval. InsureShield reports roughly 97% of claims paid within 5 days. Both are strong; the right choice depends on your volume and the categories you ship.
Rather than betting your entire catalog on one insurer, you can route every parcel to the cheapest valid option through a single API. See how Insurrl puts carrier liability first and falls back to providers like EasyPost and InsureShield only when needed — book a call with us if you are a D2C brand shipping 5,000+ parcels a month or a platform.