I learned this lesson recently as a result of an Ebay transaction.  I want to pass this information on to buyers. Just because you pay for insurance it does not mean that reimbursement is automatic if the item arrives damaged.  I recently purchased a lovely 1909 framed picture and with the shipping price came insurance. Unfortunately, the seller packed the picture in a box that was too small to adequately protect the item and with very little packing material.  No surprise, the picture arrived smashed. The seller sent me the insurance form and I filed a claim with the post office. The claim was denied by the post office due to the poor packing by the seller.  The post office will ask to see the box and the packing material so they can determine if they will pay the claim. So just because you pay for insurance it is still no guarantee the buyer will be able to collect replacement value if the seller does not pack your item properly.  Also if your item is less than $25.00 you are not eligible for any compensation from the  Ebay buyer protection plan. Basically you are out of luck.