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Ina Steiner on EmailIna Steiner on LinkedinIna Steiner on Twitter
Ina Steiner
Ina Steiner
Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). She is a member of the Online News Association (Sep 2005 - present) and Investigative Reporters and Editors (Mar 2006 - present). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com. See disclosure at EcommerceBytes.com/disclosure/.

4 thoughts on “Man Found Guilty of Mail Fraud over False USPS Insurance Claims”

  1. I find it amazing that the Post Office actually paid off on the claims. Usually they deny them for reasons only known to themselves.

  2. Agreed. USPS always does an “investigation” where they find in their favor. I would never use their insurance. I haven’t had a claim against UPS ever when I add insurance.

  3. I can’t believe anyone would be stupid enough to try to cash in on thousands of claims. For pity’s sake, USPS is photographing and weighing individual packages at this point, whatever was in the fool’s mind that he thought he could get away with so many claims, especially with actual money involved?

    @Tinysaurs My experience is exactly the opposite of yours. My problem with UPS is that probably 3 out of 5 packages seem to arrive damaged and only careful original packing saves the contents. It’s the sorting facilities causing damage, the drivers are wonderful. UPS is in the business to make a profit and actively fights claims. Not gossip: A personal friend of mine filed a five-figure lawsuit because one of the forklift drivers drove his forklift forks right through the middle of a professionally made wooden crate, in which they shipped a $14K carousel horse. Friend told me that UPS denied the insurance, claiming “poor packing.”

    @GetAGrip – I’ve shipped since 1998 and have had to file maybe 3 total USPS insurance claims, all of which were honored and I was reimbursed. The last one (2 years ago) was more difficult as it was for a lost package (too long of a story for here) and it took two tries but i won and they paid up. That said, it’s way more difficult now with the SHIPPER having to file, instead of either party.

    I do pack as defensively as possible, and because of essentially no losses using USPS, I began to “self” insure, NOT buying insurance unless it was a truly high value item. I’ve done this for so long, saving hundreds of dollars, I can reimburse a customer for just about any purchase and still be ahead moneywise in the long run.

    A USPS problem increasingly seems to be a huge gap between local workers and “management” so I have done my best to cultivate the local folks working for BOTH USPS and UPS. They are absolutely terrific and right there trying to help if I might need it.

  4. i find it hard to believe USPS doesn’t have a trigger point, where they suspect a shipper is abusing their claims or doesnt know how to pack his goods. I know Fed Ex does/did and its less than 5- complaints….If the USPS had a red flag, they would have caught the abuser themselves way before 2000 claims….which was about 2 a day in this case. (ok divide by 4, he used 4 names- though more than 1 with same last name and city)

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