The following information was provided by the Transportation Security Administration.

Please refrain from packing valuable items in your checked baggage. Once you drop your baggage with your air carrier, both the carrier and TSA will handle and process the baggage in some manner. The air carriers retain possession of your checked baggage for the entire trip with the exception of a short period of time while it is screened by the TSA.
 

Please keep in mind that most air carriers have the following liability limitations for lost,damaged, or stolen items:

No Liability for:

• Fragile items
• Perishable items
• Previously damaged baggage
• Oversized, overweight or over packed baggage
• Minor damage such as scratches, scuffs, dents, cuts and dirt resulting from normal wear and tear

Also:

• Air carrier liability is limited to $2500 per ticketed passenger for travel on or after December 1, 1999
   
• Air carrier has no liability for damage or loss of protruding baggage parts such as wheels, straps, pockets, pull handles, hanger hooks or other items attached to baggage
   
• Air carrier has no liability for photographic equipment, computers, VCRs and any other electronic equipment including software or components, jewelry, cash, documents, furs, works of art or other similar valuable items
   
• Other items that are not covered in the air carrier limit of liability include, but are not limited to: antiques, books, china, fragile items, liquids, medicines, perishable items, securities and negotiable papers or silverware.

TSA HIGHLY recommends that you do not pack the items mentioned above in your checked baggage. Protect yourself and do not pack valuables in your checked baggage.

Locking your Checked Baggage

In some cases screeners will have to open your baggage as part of the screening process. If your bag is unlocked then TSA will simply open and screen the baggage.

However, if you decide to lock your checked baggage and TSA cannot open your checked baggage through other means, then the locks may have to be broken. TSA is not liable for damage caused to locked bags that must be opened for security purposes.

TSA suggests that you help prevent the need to break your locks by using a TSA recognized locking mechanism. These "special" locks can be opened by TSA using tools provided to us by the luggage industry members.