Yesterday, EquaShip took the wraps off of their new shipping service. The startup is looking to compete with UPS and FedEx by offering shipping discounts to small to medium sized business shippers. At its basis, the service provides for packages to be picked up by a consolidator, and ultimately delivered by the United States Postal Service (USPS). The main benefit of the service is the shipping rates. They claim a 26% – 77% savings compared to FedEx and UPS Residential Ground retail rates.
One component of EquaShip’s service is their “EquaSurance” offering; not to be confused with Shipsurance. Just like UPS and FedEx, they are offering $100.00 of free coverage with every parcel shipped, with additional coverage available for $0.50 per $100.00. This built-in coverage is not provided by Shipsurance.
However, Shipsurance will support EquaShip as a covered carrier and offer coverage at a significant discount. Shipsurance customers will be able to ship with EquaShip and insure their packages for less with Shipsurance. Discounts will start at 20% and increase for volume shippers. An additional benefit is that Shipsurance will cover your handling fees if they are part of your declared value.
For example, if you sell an item for $145.00 + $5.00 shipping + $15.00 handling (box expense, overhead, etc), you can cover the package for the amount over the free $100.00 + original shipping charges with Shipsurance. EquaShip will provide the first $105.00 free of charge, we would cover the balance.
EquaShip may be a great option to save money while shipping your parcels, but make sure you save even more with insurance protection from Shipsurance. You can continue to use EquaShip, FedEx, UPS, the USPS or other carriers but insure for less with Shipsurance.