parcel shipping insurance is a service offered by shipping carriers that protects the sender or recipient from the financial loss due to damage, theft, or loss of a package during transit. Insurance coverage is typically based on the value of the items being shipped. Many major carriers, such as USPS, UPS, and FedEx, offer parcel shipping insurance as an optional service, and it can be particularly useful for businesses shipping high-value or fragile products. Customers should check with their carrier to understand the terms and conditions of shipping insurance before purchasing.