Q: Does FedEx insure packages? → A: Yes, FedEx provides automatic liability coverage for all domestic shipments at no extra charge, with additional declared value coverage available for higher-value items at published per-package rates. Does FedEx Insure Packages
FedEx automatically includes built-in liability coverage with every domestic shipment as part of their standard shipping rates. This built-in protection covers loss, damage, or theft during transit. For higher-value packages, FedEx offers declared value coverage at published rates that increase with each additional increment of value above that threshold.
Understanding FedEx Insurance options helps you make informed shipping decisions. Whether you’re sending a small item or high-value merchandise, knowing the coverage limits and costs ensures your shipments arrive safely and your investment stays protected.
Does FedEx Automatically Insure Every Package?
FedEx includes automatic liability coverage for every domestic shipment at no additional cost. This standard protection is built into your shipping rate and covers packages lost, damaged, or stolen while in FedEx’s possession.
The included coverage applies to most FedEx services including FedEx Ground, FedEx Express, FedEx Home Delivery, and FedEx Express Saver. For international shipments, FedEx International Economy and FedEx International Priority include higher automatic coverage per package.
However, FedEx’s coverage has important limitations. Cash, precious stones, high-value jewelry, and certain electronics receive limited protection regardless of their actual value. Items not properly packaged according to FedEx standards may also be excluded from coverage.
Mini Q&A: FedEx Automatic Coverage
Q: Is the included coverage real insurance?
A: No, FedEx’s coverage is liability protection, not insurance. It covers FedEx’s maximum responsibility for loss or damage caused by their handling.
Q: Does the coverage apply to all shipping services?
A: Yes, most domestic FedEx services include the automatic coverage. International services may include higher limits.
How Much Does Additional FedEx Coverage Cost in 2026?
FedEx declared value coverage rates for 2026 start at a base fee for packages just above the included threshold, and increase incrementally with each additional block of declared value (or portion thereof).
These rates increased with FedEx’s January 6, 2026 rate changes, which averaged 5.9% across all services. The declared value system works on a tiered structure based on your package’s total value.
| Package Value Range | Cost for Additional Coverage | Maximum Coverage Available |
|---|---|---|
| Up to the included limit | Free (included) | Check current FedEx rate |
| Check current FedEx rate | Check current FedEx rate | Check current FedEx rate |
| Higher values | Base fee + incremental charge | Varies by service |
Maximum declared values vary by service type. FedEx overnight and express services allow high declared values per shipment, while FedEx Ground shipping caps coverage at a lower limit per package.
FedEx SameDay has different pricing, with a base fee for lower value tiers, an incremental charge for higher values, and a capped maximum.
Mini Q&A: Coverage Costs
Q: How do I calculate declared value costs?
A: The cost equals a base fee plus an incremental charge for each block of declared value over the included threshold.
Q: Are there cheaper alternatives?
A: Thir
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Part of our FedEx Insurance guide. Related: FedEx Shipping Delays, Why Is FedEx So Slow, FedEx Delivered to Wrong Address.
