Time for paperwork? Pah-leeze! Talk about lazy, lazy, lazy. Don't sell stuff at all if you don't want to do any work for it (hell, have a garage sale out front one day - no postage at all there). No matter where it's going you've got to pack it too...
Insurance isn't that big a deal for most things. Small items I'm prepared to just take the risk on. The USPS is very good, as is Australia (where I'm from) and Hong Kong (where I am now). It's not like were talking about a corrupt third world country where something valuable looking will get stolen from the sorting room.
I'd pay insurance on a bigger item. And again, I'm paying, so what do you (the seller) care.
Reminds me of something funny my then girlfriend (now wife) said about the postage system in Italy. She was in line to buy stamps and there was a big poster on the wall proudly stating that last year "89% of mail was delivered" - and the fine print did not say "on time", they meant delivered at all!
