Shopify questionAnswer4 min read
What Should I Do When a Customer's Parcel Is Lost?
A lost package costs you twice if you handle it badly: once for the goods and again for the customer. Here is the order I'd work in, with the carrier claim deadlines.
Key takeaways
- Look after the customer first: reship or refund once the carrier's waiting period has passed, then recover the cost through a claim.
- USPS lets you start a Missing Mail search 7 days after mailing. Claims for lost Priority Mail and Ground Advantage open on day 15 and close on day 60.
- Priority Mail, Priority Mail Express and Ground Advantage include up to $100 of insurance. FedEx gives up to $100 of carrier coverage on Shopify labels.
- Insurance bought on a Shopify label is claimed from the order in your admin, from 24 hours to 120 days after shipping.
- Who it is for
- Store owners shipping orders
- Time needed
- 4 minutes to read
- What you need
- The tracking number and invoice
When a parcel is lost, check the tracking, ask the carrier to trace it, and keep the customer updated while you wait. Once the carrier's waiting period has passed, reship or refund the order, then file a claim with the carrier or your shipping insurer to recover the cost. Speed matters most with the customer, and paperwork matters most with the claim.
I work on Shopify stores every day, and a lost parcel is a support ticket every store gets sooner or later. The deadlines below were checked on USPS and Shopify help pages on 7 November 2026.
The first 48 hours
- Read the tracking history. "Stuck in transit" and "delivered but not received" need different handling.
- For "delivered", ask the customer to check. Neighbors, mailrooms, side doors and other household members often solve it.
- Contact the carrier. Ask for a trace and note the reference number.
- Reply to the customer the same day. Tell them what you've done and when they'll hear from you next. Silence is what turns a lost package into a chargeback.
Claim windows by carrier
| Service | Claim opens | Claim closes | Included cover |
|---|---|---|---|
| USPS Priority Mail Express | Day 7 | Day 60 | Up to $100 |
| USPS Priority Mail | Day 15 | Day 60 | Up to $100 |
| USPS Ground Advantage | Day 15 | Day 60 | Up to $100 |
| FedEx, most services | When lost | 9 months | Up to $100 |
| FedEx Ground Economy | When lost | 90 days | – |
| Shopify label insurance | After 24 hours | 120 days | What you bought |
USPS days count from the mailing date on your receipt. FedEx limits count from the shipment date and are the ones Shopify gives for FedEx labels bought in Shopify.
How to file a USPS lost package claim
USPS takes Missing Mail search requests from 7 days after mailing. Include both addresses, the box size and type, the tracking number, the mailing date, a description of the contents and any photos. If the search doesn't find it, file a claim once the window opens.
Either the sender or the recipient can file a claim for insured mail, but agree on who files so you don't both do it. You need the tracking number, evidence of insurance and proof of value, such as the invoice or a paid order. USPS won't pay more than the item's actual value, and you can buy coverage up to $5,000 for higher-value orders.
UPS and FedEx lost package claims
For FedEx labels bought in Shopify, you file the claim directly with FedEx, because Shopify no longer files on your behalf. Most FedEx services allow claims within 9 months of the shipment date. Ground Economy claims go by email within 90 days, and they aren't accepted for parcels lost while in USPS hands or marked delivered.
A UPS lost package claim is filed online with the tracking number and proof of the goods' value. Check the claim time limit in UPS's terms of carriage before you wait for a trace to finish.
Claims on Shopify shipping insurance
Shopify's shipping insurance is administered by Shipsurance and costs $0.89 per $100 for domestic shipments and $1.29 per $100 for international ones. Stores on Grow, Advanced or Plus using Shopify Payments get up to $200 of insurance included on eligible labels. Coverage goes up to $5,000 per shipment, and the shipment must start in the US.
To file, open the order and go to Orders > the order > ⋯ > File claim. If the label also had carrier coverage, claim with Shipsurance, not the carrier, because the two don't stack.
Outside the US
- UK: under the Consumer Rights Act 2015, goods stay at the seller's risk until the customer has them, unless the customer arranged their own carrier. A lost parcel is your problem to fix, not the customer's. My Royal Mail vs Evri vs DPD comparison covers each carrier's cover.
- Australia: the ACCC says businesses are responsible for fixing problems with products they sell to consumers. In 2023 it also secured about $2.9 million in compensation for Australia Post business customers whose lost or damaged parcel claims were wrongly refused, so claims are worth pursuing.
- EU and the Netherlands: as in the UK, treat delivery as your responsibility and claim from PostNL or your carrier afterwards.
What to do next
- Write a lost-parcel macro for support, with the exact waiting period for each carrier you use.
- Insure high-value orders above the included $100, or require a signature.
- Add a clear delivery and lost-parcel section to your shipping policy. My Shopify shipping guide covers the setup.
- Keep claim evidence by default: invoices, label receipts and packing photos for anything valuable.
Free tools
Check your own store
Free, no sign-up. Each one runs a part of this guide for you.
Frequently asked questions
How long before a USPS package is considered lost?
You can start a Missing Mail search 7 days after mailing. A claim for lost Priority Mail or Ground Advantage can be filed from 15 days after mailing, or 7 days for Priority Mail Express, up to 60 days.
Who should file the claim, me or the customer?
For USPS insured mail, either the sender or the recipient can file. As the store, it is usually better if you file, because you have the label receipt and the invoice as proof of value.
Should I refund the customer before the claim is paid?
In most cases, yes. Reship or refund once the carrier's waiting period has passed, then recover the cost through the claim. Making the customer wait for your claim risks a chargeback.
How do I file a claim on Shopify shipping insurance?
Open the order in your Shopify admin, click the ⋯ menu and choose File claim. You can file from 24 hours after shipping up to 120 days from the shipping date.
How much does a carrier pay for a lost package?
USPS Priority Mail, Priority Mail Express and Ground Advantage include up to $100, and FedEx gives up to $100 of carrier coverage on Shopify labels. Carriers won't pay more than the actual value.
What if tracking says delivered but the customer has nothing?
Ask the customer to check with neighbors, mailrooms and others in the household, then ask the carrier to investigate. Some claim types, like FedEx Ground Economy, exclude parcels marked delivered.
Sources
- Filing a claim, USPS
- Missing mail, USPS
- Insurance and extra services, USPS
- Shipping insurance, Shopify Help Center
- Shipping with FedEx, Shopify Help Center
- Australia Post to pay about $2.9 million in compensation to businesses for lost or damaged parcels, ACCC
Related services and work
I'm a Shopify developer and CRO specialist. I have built and improved Shopify stores since 2018, completed more than 1,000 projects, and hold a 4.96 average rating across 719 client reviews.
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