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Amazon will be now holding sellers responsible for compensation claims from customers

Kika Angelic

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Today, Amazon says it will step in to handle consumer complaints over defective products. Instead of telling customers to reach out to the seller, it will allow customers to begin their claims process through Amazon Customer Service.

Starting September 1st, Amazon will take the claim information and notify the seller to help them address the claim. If the seller doesn’t respond, Amazon will step in to address the customer concern at its own cost while it separately tries to pursue the seller. And if the seller rejects a claim that Amazon believes is valid, it will compensate the customer.

Since Amazon says it will use its existing fraud detection and abuse systems and work with external, independent insurance fraud experts to analyze customers’ claims for validity, it sounds like everything will be handled in the same manner as A-Z claims. This includes accepting unsubstantiated, frivolous, or abusive claims”.

It also started requiring product liability insurance from sellers through a new service, Amazon Insurance Accelerator, which offers a selection of trusted providers to shop from. However, the service is only available to US and China based sellers, which means that any international sellers will face an extreme difficulty to obtain the mandatory insurance.

Amazon likely believes this new policy will help to head off new regulations that could impact how it runs its marketplace business. In announcing the news, Amazon stated that it’s “going far beyond our legal obligations and what any other marketplace service provider is doing today to protect customers” — a message clearly meant to dissuade further regulation.

The changes will roll out initially in the U.S., Amazon says.

Here is a screenshot of the full announcement:

Here is a copy of the full text in English:

Expanding A-to-z Guarantee to protect customers and sellers (US)

Dear Selling Partner,

Over the years, we have worked together to earn customers’ trust by providing them with a great experience – offering the products they want, ensuring great prices, and providing fast and convenient delivery. The A-to-z Guarantee, which covers the timely delivery and condition of products sold in our store, has also been important to our mutual growth by providing customers with peace of mind when purchasing from sellers. 

Today, we are expanding our A-to-z Guarantee to protect both customers and sellers in the unlikely event a defective product sold through Amazon.com causes property damage or personal injury. Beginning September 1, we will:
1. Offer an efficient process for both parties to resolve such claims. 
2. Pay valid claims less than $1,000 and not seek reimbursement from sellers who have valid insurance.
3. Make it easier for sellers to buy insurance at competitive rates through Amazon Insurance Accelerator. 

With these innovations, we are enabling customers to shop even more confidently in our store, driving more opportunity for you to continue to grow your business.

Amazon expands A-to-z Guarantee to efficiently resolve defective product claims for customers and sellers  
Previously, in the rare case that a customer believed a defective product caused property damage or personal injury, customers approached sellers directly to try to resolve their claim. We have heard from both sellers and customers that the experience can sometimes be frustrating. We have consulted with insurance experts and built a new process to facilitate resolution in a more efficient manner for all parties involved.

Beginning September 1, 2021, for products sold through Amazon.com, Amazon will facilitate resolution of property damage and personal injury claims between the customer, the seller, and their insurance provider. Customers can contact Amazon Customer Service and we will notify the seller and help them address the claim. If a seller does not respond to a claim, Amazon will step in to directly address the immediate customer concern, bear the cost ourselves, and separately pursue the seller. If a seller rejects a claim we believe is valid, Amazon may also step in to address the customer concern; in these cases, sellers will continue to have the opportunity to defend their product against the claim. This streamlined process will save time, money, and effort for both customers and sellers. By standing behind customers and the products in our store, regardless of who sells them, we will help customers feel more confident shopping at Amazon and from sellers like you. 

When a customer files a claim, Amazon will combine our advanced fraud and abuse detection systems with external, independent insurance fraud experts to analyze the claim. We will present valid claims to sellers and deny unsubstantiated, frivolous, or abusive claims. By doing this work on behalf of sellers, we save you from having to investigate these claims on your own.

You can read about the process in full here: https://sellercentral.amazon.com/gp/help/GTY6NYZDFD5CENYH

Amazon pays for claims under $1,000, saving sellers time and money
Amazon will resolve and pay for valid property damage and personal injury claims against sellers under $1,000 as a concession to customers. Claims under $1,000 account for more than 80% of cases in our store, and Amazon will bear these costs and not seek reimbursement from sellers who abide by our policies and hold valid insurance. These concessions will not affect your order defect rate, and you will be kept informed at every step so you can continue to ensure your products are safe. 

Amazon updates seller insurance requirements and launches Insurance Accelerator, making it easier and more affordable for sellers to protect their businesses 
Amazon has a long-standing requirement that sellers obtain product liability insurance and name Amazon as an additional insured once they reach $10,000 in sales for three consecutive months on Amazon. We are updating this requirement and effective September 1, 2021, our Business Solutions Agreement will require sellers to obtain product liability insurance and name Amazon as an additional insured once you reach $10,000 in sales in one month on Amazon.com.

If you are a new seller or are an existing seller looking for a new policy, we have worked with an insurance broker to create Amazon Insurance Accelerator, a network of vetted insurance providers to help you easily and affordably secure liability insurance. These insurers can evaluate and if appropriate, offer liability insurance at competitive rates to qualifying sellers. We will continue to expand Amazon Insurance Accelerator to include more providers over time. You can learn more and contact the providers here: https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance/page/InsuranceEstablishment/global/render

If you already have insurance, please confirm it is up-to-date and saved on the Business Insurance page in Seller Central: https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance/page/InsuranceEstablishment/global/render?view=up.

Amazon stands behind you and the hundreds of millions of products our sellers offer customers. With the expanded A-to-z Guarantee, we’re proud to continue to partner with you to provide customers with peace of mind every time they shop in our store and to help you increase sales and grow your businesses.

Thank you for your continued partnership,

I hope you found this article helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!

Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.

If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic

Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment! Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome. If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic

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Don’t forget to upload a new certificate of Business Liability Insurance

Kika Angelic

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Over a year passed since Amazon started requiring its sellers to obtain business liability insurance, if their sales exceed $10000 in monthly sales turnover. Most sellers were able to obtain the required insurance, thanks to my helpful guide found on this link. All you need to do is subscribe to my OnlyFans page for $24.99 and this will enable you to obtain insurance accepted by Amazon, regardless of your business entity and country, where you are based.

However, please note that regardless where your business liability insurance policy was purchased, all insurance policies are expiring after a year and you will need to renew them and re-upload into the Amazon Seller Central, otherwise you will be treated in the same manner as those, who don’t have any insurance details on file.

Here is a copy of e-mail from Amazon requested update business liability insurance information following expiry:

Action required: New certificate of insurance coverage

Hello,

Thank you for maintaining commercial liability insurance for the products that you sell on Amazon.  According to our records, your policy has or is about to expire.  Please upload a new certificate of insurance within 30 days of receiving this email.

Why did I receive this message?

Your commercial liability insurance has expired or will expire in the next 30 days. Amazon Services Business Solutions Agreement requires that once your gross proceeds exceed $10,000 in a month, or as otherwise requested by Amazon, you maintain current commercial insurance coverage and submit a proof within 30 days of receiving a verification request.           

How can I get a proof of liability insurance? 

You can contact your insurance provider to issue a Certificate of Insurance (COI) for the current year. You can also use this opportunity to shop around to ensure you have comprehensive coverage at a great rate. To secure easy and affordable liability insurance, Amazon has worked with an insurance broker to create Amazon Insurance Accelerator, a network of insurance providers who will evaluate and, if appropriate, offer liability insurance at competitive rates to qualifying selling partners. To learn more about Amazon Insurance Accelerator and contact the providers, go to Business Insurance: https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance/page/InsuranceEstablishment/global/render. 

What do I do next?

Upload your current COI as proof of liability insurance coverage on the Business Insurance page: 
https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance/page/InsuranceEstablishment/global/render?view=up

The COI is issued by your insurance company and details on what is covered, the amount of coverage, and any exclusions or deductibles. COI can be uploaded in .pdf, .doc, or .docx format. You can also access the upload page by doing the following:

1) On Seller Central, go to “Settings” and select “Account Info”. 
2) Under the “Business Information” widget, select “Business Insurance”.

What are the insurance requirements? 

For more information about the policy requirements, see Insurance requirements: https://sellercentral.amazon.com/gp/help/G200386300

We’re here to help. If you have additional questions, contact us: https://sellercentral.amazon.com/help/hub/support. 

To view your account performance, go to Account Health: https://sellercentral.amazon.com/performance/dashboard?reftag=ah_em_inv

The Amazon Services team

Additionally, here is a copy of the original business liability insurance requirement e-mail:

Action Required: Provide proof of liability insurance coverage

Hello,
We are writing to remind you to provide proof of liability insurance for the products you sell through Amazon.com Please provide this information within 30 days of receiving this email.

Why did I receive this message?
You are required to provide proof of liability insurance, and our records show you have not done so.  As of September 1, 2021, Section 9 of the Business Solutions Agreement (https://sellercentral.amazon.com/gp/help/G1791) requires you to obtain and maintain at least $1 million of commercial general, umbrella, or excess liability insurance, within 30 days after exceeding $10,000 in gross proceeds in sales in one month on Amazon.com or if otherwise requested by Amazon.

What do I do next?
Please upload your Certificate of Insurance (COI) as proof of liability insurance coverage within 30 days of receiving this email.  The COI is issued by your insurance company and details what is covered, the amount of coverage, and any exclusions or deductibles. 

Where do I submit my proof of liability insurance?
Upload your COI on the Business Insurance page (https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance/page/InsuranceEstablishment/global/render?view=up) in Seller Central account settings. The document can be uploaded in .pdf, .doc, or .docx format.

What are the insurance requirements? 
Your commercial liability insurance policy must meet all of the following criteria:

1. The policy limit must be at least $1 million per occurrence and in aggregate, and cover liabilities caused by or occurring in conjunction with your business operations, including products, products/completed operations and bodily injury; 
2. The insurance policy type can be either commercial general, umbrella, or excess liability and be occurrence based;
3. Your insurance provider must have global claim handling capability and a financial rating of S&P (https://www.spglobal.com/ratings/en/sector/insurance/insurance-sector) A- and/or AM Best (https://www.ambest.com/home/default.aspx)  A- or better (if S&P or AM best is not valid or used in the country where you are required to obtain insurance, a local equivalent is allowed);
4. Your insurance provider must give Amazon at least 30 days’ notice of cancellation, modification or nonrenewal;
5. The policy must name “Amazon.com Services LLC and its affiliates and assignees” as additional insureds;
6. The deductible for any policy(ies) must not be greater than $10,000 and any deductible amount must be listed on the certificate(s) of insurance;
7. The policy must cover all sales from products you have listed on the Amazon website;
8. Your insured name must match the “legal entity” name you provided to Amazon (view your legal entity name) (https://sellercentral.amazon.com/sw/AccountInfo/LegalEntity/step/LegalEntity);
9. The policy must be completed in its entirety and signed; and
10. The policy must be valid for at least 60 days from the date of submission.

How can I obtain liability insurance? 
You can choose any insurance provider that meets our requirements above. To help you easily and affordably secure liability insurance, Amazon has worked with an insurance broker to create Amazon Insurance Accelerator, a network of insurance providers who will evaluate and, if appropriate, offer liability insurance at competitive rates to qualifying selling partners. You can learn more about Amazon Insurance Accelerator and contact the providers here (https://sellercentral.amazon.com/mario/v2/az/flow/BusinessInsurance).

We’re here to help
For additional information, please go to our Help page (https://sellercentral.amazon.com/gp/help/200386300). If you have additional questions, please contact us using this link (https://sellercentral.amazon.com/help/hub/support).

You can view your account performance at https://sellercentral.amazon.com/performance/dashboard?reftag=ah_em_inv or by selecting Account Health on the home screen of the Amazon Seller app on your iOS or Android device. The Account Health page shows how well your account is performing against the performance metrics and policies required to sell on Amazon.


The Amazon Services team

I hope you found this article helpful. Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!

Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.

If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic

To create perfect Amazon Product Images with a pure white background, feel free to watch my YouTube video about our image removal tool, which can be found within tools available on our Seller Union website:

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Watch out as Amazon will be automatically adjusting shipping time estimates!

Kika Angelic

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Recently, Amazon sent their third party sellers doing business on European marketplaces an e-mail titled “Improve your transit time”, which looks just like many of the generic promotional communications, which they are regularly sending.

However, the e-mails state that Amazon somehow detected the seller’s delivery times to be much shorter than their currently set shipping estimates and therefore, the estimates will be automatically adjusted throughout October 2022 to offer customers faster delivery promise. This will all happen without the affected seller’s knowledge or consent and affect domestic standard shipping times.

There is no option how you can proactively opt out and the only thing you can do is manually setting the shipping times back to their original timeframes, once you already discover them being changed.

Here is a screenshot of the e-mail regarding the matter from Amazon:

Here is a copy of the wording:

Improve your transit time

This is an important notification, which requires your attention.
 
Dear Seller,
 
We identified that more than 90% of your orders in the last three months have arrived before your promised delivery dates because your promised transit time is slower than your carriers delivery performance.
 
What does this mean for you?
Your performance indicates that setting a faster transit time could benefit you and the customer by showing a more accurate promised delivery date. In October, we will update your standard transit times ranges in shipping templates to values that are closer to your actual delivery times. As an example, if your transit time is set to 14-21 days and your preferred carrier is delivering within 10-12 days, we will update the transit time to 10-14 days.

No action is required from your side at the moment unless you want to further re-adjust the transit times. We will only adjust Standard Domestic Transit times in shipping templates. Your premium ship options, international and expedited templates will remain unchanged.
What are the advantages of adjusting to faster & more accurate transit time?
Faster transit times mean earlier delivery promise for your offers and customers are generally more likely to purchase products that have a faster delivery promise.

You can, at any time, update or change transit times in the shipping settings if you are unable to offer set transit times to the customers.

Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!

Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.

If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic

If you are interested in registering a Seller Account on Amazon or you are struggling with Seller Identity Verification, please feel free to watch my detailed video, where I am addressing all common mistakes and insider tips for success:

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Amazon postpones the deadline for removal of non-compliant listings under Controlled Drugs Policy

Kika Angelic

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Recently, Amazon announced that they will be starting to enforce their policy affecting over-the-counter (OTC) drugs and/or natural health products (NHP). However, they now e-mailed sellers with a correction, stating that the previously mentioned deadline of 30.September 2022 is being extended to 24.October 2022.

Amazon policy states that all drugs listed in scheduled substances, drugs paraphernalia, and any other drugs and NHPs listed in the “Controlled Drugs and Substances Act” cannot be sold on their platform.

Here you can view a copy of the e-mail regarding the matter:

Important information about over-the-counter drug and natural health product listings on Amazon.ca

Hello,

We are contacting you because you are selling or have sold over-the-counter (OTC) drugs and/or natural health products (NHP) on Amazon.ca. For more information on our policy on these products, go to “Drugs, Drug Paraphernalia & Dietary Supplements”: https://sellercentral.amazon.ca/help/hub/reference/external/200164490

You may have previously received emails informing non-compliant ASINs will be removed from our store starting September 30, 2022. As part of our ongoing efforts to provide the best possible seller and customer experience, we have extended this deadline. Non-compliant ASINs will now be removed from the http://amazon.ca/ store starting October 24, 2022. We will resume sending updated list of identified ASINs from the first week of October 2022.

Why is this happening?

Drugs and natural health products are regulated by Health Canada. Health Canada regulates who can distribute scheduled substances, narcotics, and paraphernalia.  Amazon policy states that all drugs listed in scheduled substances, drugs paraphernalia, and any other drugs and NHPs listed in the “Controlled Drugs and Substances Act”: https://laws-lois.justice.gc.ca/eng/acts/C-38.8/ are not to be sold on Amazon.ca. 

For more information, go to “Drug Scheduling in Canada – General Overview”: https://www.napra.ca/drug-scheduling-canada-general-overview, provided by the National Association of Pharmacy Regulatory Authorities.

If you believe your listings were incorrectly identified or have already been restricted, write to rpsa-sim@amazon.com with a list of affected ASINs. 

The Amazon Restricted Products team

Many Amazon sellers recently started trading stocks and crypto currencies, hoping to diversify their income, which is a very good idea with all the uncertainty which comes with the platform. For this reason, we launched a new Facebook group, Crypto Arbitrage Income (Bitcoin, Crypto, Altcoins, Blockchain, Trading) – feel free to join us and forget about the troubles of selling on Amazon for a moment!

Regarding Amazon Seller Performance, you can always participate in our Amazon Seller Performance – Friendly Advice – Worldwide group, where you will be very welcome.

If you are an Amazon Seller who needs help with any Amazon-related issues such as suspensions, listing blocks or is looking for professional assistance, please don’t hesitate to subscribe to my new OnlyFans page at: www.onlyfans.com/kikaangelic

To create perfect Amazon Product Images with a pure white background, feel free to watch my YouTube video about our image removal tool, which can be found within tools available on our Seller Union website:

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