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Forget Demand Surcharges - DEMAND That UPS & FedEx Guarantee Their Services

Oct 21, 2025 · 2 minutes read

Let’s take a trip down memory lane. The date: February 2020. “COVID-19” was a word whispered about as an unknown virus in faraway places. And UPS and FedEx guaranteed service refunds (GSRs) were, well, guaranteed.

Then came March 2020. The mystery illness spread worldwide, affecting both people and industries. As UPS and FedEx employees fell ill, cared for loved ones, or simply adhered to mandated social distancing during the pandemic, those stuck at home started shopping online at unprecedented rates. Unable to keep up business as usual, the carriers made the decision to suspend their guaranteed service refunds. Unprecedented times called for unprecedented action. While it wasn’t convenient, most understood. Everyone was doing the best they could.

It’s almost 2026. March 2020 and the height of COVID-19 are in the distant past. So, why haven’t the GSRs been fully reinstated?

Today, we’re talking about GSRs— what’s happened since 2020, and why you are a vital part of getting them reinstated in full now.

Why Are the Carriers Dragging Their Heels on Reinstating Guaranteed Service Refunds?

In April 2021, just 13 months after completely halting their GSRs, both FedEx and UPS reinstated their money-back guarantees— with a catch. Instead of guaranteeing all services, the carriers would only guarantee their premium offerings. UPS also extended the guaranteed delivery time for UPS Next Day Air Saver¼ deliveries from 3 PM to 11:59 PM.

So why haven’t the others been reinstated in the 4+ years since? Like most business decisions, this one boils down to money. The carriers have no incentive to bring back the GSRs. Customers have become complacent, with little recourse available. It’s going to take major pushback or a new competitor in the market to force UPS and FedEx to make a change.

What Can You Do to Pressure UPS and FedEx to Make Changes?

If you are using the services that qualify for a money-back guarantee, it’s essential that you conduct parcel audits. Every year, UPS and FedEx customers leave billions of dollars of unclaimed refunds with the carriers. The GSR is active for premium services— but it’s not automatic. To receive a refund or credit, you must identify service failures and incorrect charges and request refunds within the timeframe required by the carrier. When you sign up for ShipRx parcel audits, we’ll automatically perform more than 40 checks on every parcel you send and request refunds from the carriers on your behalf. You’ll only pay a percentage of the recouped costs, ensuring a win for you AND no undeserved payday for UPS or FedEx.

For all products with GSRs suspended “indefinitely,” it’s time to start putting pressure on the carriers. Request a timeline for their return by email. Post about it publicly on social media. Start shopping other carriers. FedEx and UPS have a duopoly, but with Amazon Shipping and smaller carriers entering the scene, they need to step up their game.

Now is the time. You, as a customer, are paying for a service, and the carriers should be held responsible for guaranteeing that service.

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James Founding Partner