OVERVIEW

Merchants using Offset can use Package Protection to compensate shoppers in the case of loss, theft, or damage to their order. If an order with Package Protection isn't delivered to the shopper in one piece, merchants will be paid out in full for the value of the package if the Package Protection claim is approved.

Note: Loop offers two different kinds of Package Protection:

• Package Protection with Seel: Merchants allow Seel, a leading package protection company, to manage their package protection and claims resolution process.

• DIY Package Protection: Merchants collect package protection funds from shoppers and use the funds to manage the few claims that are opened.

Check out our Package Protection with Seel article for details on the other method.

With DIY Package Protection, merchants maintain complete control over their package protection offering and claims process. Here's a breakdown of how it works:

Funds Collection:

• When a shopper adds the Offset product (configured for DIY Package Protection) to their cart, the additional cost for package protection is included in their total price paid.

• These funds are collected directly by the merchant, giving them full ownership of the collected revenue.

Self-Management of Claims:

• In the event of a lost, stolen, or damaged package, the shopper will contact the merchant directly to initiate a claim.

• Merchants are responsible for reviewing the claim, requesting any necessary documentation (for example, photos of damage or police reports for theft), and making a decision on the claim's validity.

• If a claim is approved, the merchant uses the collected package protection funds to compensate the shopper, whether through a refund, replacement, or store credit.

DIY Package Protection is enabled using Offset. To set up DIY Package Protection, modify the price and copy of the merchant's Offset product in Shopify and the Loop admin.

1. In the Shopify admin, navigate to Products and select the merchant's Offset product from the list.

2. Under Pricing, adjust the price of the product to include the price of Package Protection.

   

1. In the Loop admin, navigate to Returns management > Policy settings > General. Then, under Offset, click Text customizations.

2. The texts fields on this page are shown to the shopper when they're on the merchant's cart and checkout pages. Customize them to include language around package protection.

   

3. Click Save when finished.

How do I determine what to charge for DIY Package Protection? You have complete discretion over pricing. Consider factors such as your average order value, historical loss/damage rates, and desired profit margins.

What happens if a customer opens a claim? Customers will reach out to you directly. You will then manage the claim process yourself, including reviewing evidence, communicating with the customer, and issuing a resolution (refund, replacement, etc.) using the funds you've collected.

Do I need to use a third-party for claim resolution with DIY Package Protection? No, that's the core of DIY Package Protection! You manage all aspects of the claims resolution in-house, giving you complete oversight and control.

What kind of documentation should I ask for when a customer files a claim? That's up to you. Common requests include photos of damaged items or packaging, order numbers, tracking information, and sometimes a signed affidavit for lost or stolen packages. Whatever your requirements are, clearly outline them in your package protection policy.

Please reach out to support@loopreturns.com with any additional questions