The shipper should ALWAYS insure every shipment, regardless of whether or not the Buyer is willing to pay for the shipping charges.
If an item is lost or delayed, a shipper will devote more attention to an insured package. If an item is damaged, the insured value establishes a starting settlement price with the shipping company.
The shipper should insure either at the sale price for a minimum or at the retail price for a maximum. Shipping companies only accept claims for "current value" of an item, but it helps to negotiate from a higher starting price rather than a lower one. Remember that, in the big picture, insurance is inexpensive and necessary.
Need more help? Feel free to submit a support request.