FedEx Claims: The Real Scam

Discussion in 'FedEx Discussions' started by MrFedEx, Dec 4, 2012.

  1. MrFedEx

    MrFedEx Engorged Member

    The lawsuit regarding "upweighting" brought our Claims Deaprtment to mind, specifically their unwillingness to ever pay for claims, even if they are completely legitimate. A few years ago I was approached by my manager and asked if I wanted to be the station "Claims Specialist". I didn't know what the job entailed, so I asked for an explanation. Here's what I got:

    1. The Claims Specialist's job is to deny any claim, regardless of whether the package meets or exceeds FedEx packaging standards.

    2. The packaging standards are kept intentionally vague so the customer is always at fault.

    3. Your job is to deflect the customer from actually making a claim, as in telling them that it would be a waste of time to actually file one.

    4. Your job is to tell the customer that their package was incorrectly constructed, even if it was, in fact, a perfectly protected package.

    5. Your job is to lie (if necessary) to the customer about the circumstances of the damage to the package. Let's say it's a box soaked completely through because MEM sent you an AMJ with a 1/2 inch of water on the bottom. That never happens, right? My job would be to tell the customer that the shipment should have been encased in a plastic bag or similarly sealed so it would be waterproof.

    I declined the position offer, as I don't ever want to be part of a scam like this. I'm sure all of you have seen improperly stacked cans with huge wooden crates or heavy boxes stacked upon obviously light and fragile (marked) packages, or packages that have unknown substances leaked upon them, wet packages sitting in the bottom of a can that someone was too lazy to wrap and/or drain before loading, or absolutely crushed and torn packages that look like the Jolly Green Giant sat on them.

    All packages damaged in this manner would very likely be claims "denied" by our Claims Department, which only wants to see revenue collected for Declared Value and then not pay for the "insurance" paid for by the shipper.

    FedEx has been successfully sued before for this, but I know the practice continues. Major scam.
  2. TUT

    TUT Well-Known Member

    You'll have a hard time finding a large company in the US that doesn't have practices like this.

    "Declared Value and then not pay for the "insurance" paid for by the shipper" - If it were so simple... There is a lot of scammers out there to.
  3. overflowed

    overflowed Well-Known Member

    When i get damaged packages I always ring the doorbell so they can refuse the package. I already know the company I work for all too well, I'm sure they'll blame the shipper. I've seen many a squashed package. How far down the company's sank. So sad. You know it's hit bottom when employees will actually go above and beyond to cost the company money.


    sounds exactly like what Aetna does :surprised:


    Sorry, but that doesnt makes it right. Do you as a consumer likes when you are scammed, defrauded or deceived?
  6. TUT

    TUT Well-Known Member

    Who said it did? It's just that what I read here is common place, it's not like Evil Fedex and everyone else is Holy. It's how corporate has taken so much control that is sickening. If I hated my employer, I wouldn't be there long for my own health.
  7. CJinx

    CJinx Well-Known Member

    I'd just like to know if anyone even reads the damaged package reports. I've written several hundred of them over the years...
  8. MrFedEx

    MrFedEx Engorged Member

    I always exception damaged packages, even if the customer doesn't ask me to.


    I used to do this until they put me on the route I have now...if I did it, I would never leave the building. I'd be too busy doing damaged scans to make the deliveries.
  10. CJinx

    CJinx Well-Known Member

    Actually we just blame the drivers for that; logic being that if it were damaged at the station, it wouldn't have been loaded on a truck for delivery. Managers are always very interested to hear of a pattern in packages being 06'd as damaged.
  11. bbsam

    bbsam Moderator Staff Member

    " wouldn't have been loaded on a truck...." BS. I've been told on many occasions, "We need to attemp to deliver it and if the customer wants to refuse it they can." To which my response is, "No."
  12. overflowed

    overflowed Well-Known Member

    whats an 06 groundies?
  13. CJinx

    CJinx Well-Known Member

    Refused by recipient for whatever reason(canceled, wrong item, damaged, etc)

    I agree with you. Damaged packages should never be knowingly sent out for delivery.


    The policy at my station is that ALL packages go on-road, regardless if it's a rattling Proflowers box or a crushed big screen TV from Walmart. We are not allowed to send it down the belt to a CSA, period. Do we do damaged scans? Negative, no time for that either. We were told that we cannot be making decisions for the recipients and they need to refuse the package themselves. Their reasoning is that customers "might be able to salvage part of the shipment" and do a claim on the rest. In the real world, if it's broken, customer won't accept it, period. We as a company look pretty darn good trying to deliver a bouquet of flowers with pieces of broken glass coming out the box. Oh yeah, only at FedEx!
  15. MrFedEx

    MrFedEx Engorged Member

    Exactly. Even the ones that are covered in some unknown liquid that has covered the box or are obviously destroyed. It's all about NOT paying for damages caused by FedEx.

    MAKAVELI Well-Known Member

    It sure is, and most times FedEx will claim improper packaging or limit the claim amount.
  17. STFXG

    STFXG Well-Known Member

    I carry all damaged boxes. And I let the customer open them and inspect them... It's their stuff. They can see and decide if they want it. I have no trust in QA clerks inspecting contents.
  18. CJinx

    CJinx Well-Known Member

  19. STFXG

    STFXG Well-Known Member

    Why what?
  20. Mr. 7

    Mr. 7 The monkey on the left.

    Same here. Just take it out.