What Is the Difference Between a USPS Claim and a USPS Refund

When a package is lost or damaged in the mail, or fails to reach its destination on time, customers often turn to the United States Postal Service (USPS) for compensation. However, many confuse USPS claims with USPS refunds, even though they serve different purposes. It is essential to understand the difference between the two in order to know which process applies to your situation.

Although both a USPS claim and a USPS refund involve getting money back from USPS, they are different processes that apply to different situations. A domestic USPS claim can be filed by the sender or recipient if an insured package is lost, damaged, or has missing contents. Packages with insurance included in the shipping cost or with insurance purchased separately qualify.

To file a claim, you need the original mailing receipt and proof of insurance (if purchased separately), proof of value, and proof of damage (if applicable). The filing process is straightforward and consists of several steps.

First, check the filing period for your claim. This period is based on the mailing date, the shipping service used, and whether the package was lost or arrived with damage or missing contents. The filing period for packages with damaged or missing contents, as well as for most types of lost mail, is 60 days. However, AFO/FPO/DPO services have filing periods ranging from 180 days to one year, depending on the exact type of service. You can check the filing periods on the USPS website.

Next, gather all the required documentation. It includes:

• The package’s tracking number, which can be found on the package label or the mailing receipt.
• Evidence of insurance, such as the original mailing receipt or a confirmation of purchase of additional insurance.
• Proof of the package contents’ value, such as a sales receipt, paid invoice, or credit card billing statement.
• If your package arrives damaged, you must provide proof of damage, including photos clearly showing the extent of the damage and an estimate of the repair costs from a reputable dealer.

Keep all documents until your claim is settled. If your package is damaged, you must also save the original packaging and all items in the package, both damaged and undamaged.

The easiest way to file a USPS claim is online using your USPS.com account. If this is not an option, contact the USPS National Materials Customer Service at 1-800-332-0317 and request a Domestic Claim Form.

After filing a claim, you should expect a decision within five to ten days. Your claim may be approved in full, approved in part, or denied. If approved, you should receive your payment within seven to ten business days. Please note that USPS will not pay more than the actual value of the lost or damaged item.

If your claim is partially approved or denied, you may file an appeal within 30 days. If your initial appeal is denied, you may file a final appeal within 30 days of the denial.

These instructions apply to domestic claims. The process of filing an international USPS claim differs because foreign postal administrations are often involved.

Unlike a USPS claim, a USPS refund is related to the postage cost rather than the value of the item. Refunds are issued when USPS fails to provide a guaranteed service. Examples include late delivery of Priority Mail Express and improper acceptance of articles. Refunds are also issued when postage is purchased but not used. Refunds are not dependent on insurance and are for the return of the shipping fee, not for compensation of loss or damage.

You can submit a refund request online or apply for a refund in person at a post office within 60 days of the mailing date. To request a refund, you will need the package’s tracking number and the purchase receipt. If applying in person, you will also need a photo ID.

If your refund is approved, you may receive payment by check, cash, money order, or to your Click-N-Ship payment account, depending on the service and how you applied. If your refund is partially approved or denied, you have 30 days to file a dispute.