Sorry to hear this.
Not purchasing insurance means you are self-insured.
The law provides that you are responsible for the package until it is in the hands of the recipient. If you don't purchase insurance, it's on you.
When I ship I over-package, over-insure, and track. I purchase the highest level of service provided by whatever shipper I use. This will gain a higher level of handling of the package.
The old saying "you get what you pay for" applies. As well as "under-promise and over-deliver".
Take responsibility and make it right, no matter what. Don't point fingers until and unless the you first point it at yourself.
Also, providing the highest level of service I can for my customer includes the support services I purchase. Skimping on shipping services is skimping on the customer.
Just the way I see it after many years in executive level management and then 11 years in the service industry with 6 of the most recent years as an entrepreneur.
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