System and method for arranging shipment and insurance for an item

A system for arranging insurance for an item being shipped, wherein the system comprises:

• a memory device, wherein the memory device stores information about the item, wherein the memory device accompanies the item;
• and
• a server connected to the memory device, wherein the server is configured to communicate with the memory device using a network, wherein the server is configured to:
• receive a request to insure the item being shipped from an origination to a final destination;
• search a database for a cost effective insurance, wherein the cost effective insurance provides maximum insurance coverage for the item for the least cost;
• generate a data file comprising at least the following:
• item information, and
• insurer information;
• and
• store the data file in the memory device that accompanies the item.

A carrier medium which stores program instructions, wherein the program instructions are executable by a computer system to implement a method of:

• receiving a request to insure the item being shipped from an origination to a final destination;
• searching a database for a cost effective insurance, wherein the cost effective insurance provides maximum insurance coverage for the item for the least cost;
• generating a data file comprising at least the following:
• item information, and
• insurer information;
• and
• storing the data file in a memory device that accompanies the item.