What UPS offers for $1 per $100 value is definitely "insurance," and is so stipulated on their contract, which is the bill of lading you complete and attach to the shipment. I just checked one here, again.
In contrast to what some have experienced, I've never had a problem with a UPS damage or loss claim. My last one was about three years ago, when a large and heavy power supply, which was crated and palletized, arrived damaged at my door. I simply took photographs (immediately) with a date/time stamp camera showing the pallet, the crate, the exterior damage, the interior damage, and a few close-ups of the damage to the power supply itself. I added to that a copy of the costed bill of material for the required repairs and a labor estimate at $70 per hour to perform the repairs (myself), and submitted that as the claim.
They were going to send an adjuster out to inspect the damage, but never did. I received payment for my $375 claim in about two weeks.
Taking action immediately, and taking photographs, is vital to the process.
WB2WIK/6