I agree with earlier mails; surface mail seems to be a poor option as in my experience it's only 25-30% cheaper than air mail (with Parcelfarce anyway), takes up to a month and a half rather than a few days. Combine that with no tracking or insurance and it makes it a complete no-goer in my opinion..... I also consider (rightly or wrongly) that the longer the item is in transit, the higher the risk of damage will be.
I think the price quoted doesn't seem too excessive, and I agree with KUB3, no insurance is insane unless the item is worthless!
When I've sent goods to the US (and elsewhere) I've always put 'gift' on the import/export doc instead of other options, that way the receiver doesn't have to pay import tax.....ask the seller to do this for you....