Seller A: Have you received Amazon’s reminder? Will we also need to purchase insurance on the European site in the future?

Seller B: I previously purchased commercial insurance online at the backend of the US site and spent several thousand yuan on it. Now I have to pay for insurance at the European site?

Seller C: I bought insurance from the US site. Do I need to buy insurance from the European site? How can I buy it at the cheapest price?

Since June this year, sellers have received notifications from Amazon's European and Canadian sites to purchase insurance. Most sellers in the Zhaodanmao seller communication group have raised the above questions. Today, Zhaodanmao Cross-border will give some answers to these questions!

Insurance is required for European and Canadian stations

As early as three years ago, Amazon launched commercial liability insurance in the United States, requiring sellers to purchase insurance within 30 days when their total sales revenue exceeds US$10,000 in any month, otherwise there is a risk of store closure and sales ban.

At that time, many sellers in the US site flocked to Amazon to purchase commercial insurance, and purchased expensive commercial insurance in the background, until later there was a way to purchase insurance offline;

Sellers only realized that when they bought from Amazon, the platform fees were added to the insurance fees. They realized that they had overpaid! Online purchases are generally hundreds or even thousands of yuan more expensive than offline purchases. Sellers who need to purchase Amazon commercial liability insurance offline, please contact Zhaodanmao customer service: FLA66668888. The offline purchase policy is exactly the same as the online one, but the price is at least hundreds of yuan cheaper.

Recently, many sellers received notices from European and Canadian sites. Amazon stated that to sell goods on the platform, once the seller's total transaction revenue in any month exceeds the sales threshold that requires insurance, they must obtain and maintain valid commercial liability insurance.

European sites:

1. For claims less than €1000 or £1000, Amazon will compensate the buyer directly if it is proven that the relevant loss or damage was caused by defective goods. Amazon will not claim compensation from the seller or its insurance provider as long as the seller has proof of valid insurance and complies with the policy.

2. For claims above €1,000 or £1,000, Amazon or Sedgwick, the platform’s third-party management service provider, will work with the seller to verify the claim and compensate the buyer.

For the Canadian site, the limit amount for this claim is US$1,000.

Amazon's detailed documentation gives the corresponding insurance sales thresholds for each site:

United States, Canada: USD 10,000

Germany, France, Italy, Spain, Netherlands: 5,000 Euros

UK: £4,000

Sweden: 50,000 SEK

So next, if you have purchased valid commercial liability insurance for Amazon US and sell products on the European site, remember to contact the insurance provider to confirm whether the insurance policy covers claims made in the EU and the UK.

If your insurance is about to expire for renewal, or if your new store needs to purchase new insurance, it is recommended that you contact a reliable insurance provider immediately; Zhaodanmao Cross-border x China Insurance Group is an official partnership, and the price of Amazon commercial insurance is the lowest on the entire network. If sellers need it, they can contact Zhaodanmao Cross-border.

If you, as a seller, are a reseller rather than a manufacturer, but you fail to provide a valid insurance certificate as required by the platform, once an accident claim occurs, the seller will have to pay a huge amount of compensation on his own!

At present, Amazon’s European backend has not opened the entrance for uploading insurance certificates. Because many sellers have inquired whether the insurance policies they purchased before cover the European sites; therefore, Zhaodanmao Cross-border specially contacted the person in charge of China Insurance Group to confirm the measures to deal with this new policy!

PICC Manager: Commercial insurance certificates purchased after June 2024 will cover global sites. If you purchased the policy certificate before June 2024, it is very likely that global sites will not be covered.

It is recommended that the seller check which situation he/she belongs to according to this form. If the policy content needs to be modified, he/she needs to fill in the form again and send it back to PICC.

However, the person in charge of PICC emphasized a key issue during the cross-border communication with Zhaodanmao: Currently, the insurance upload port is not available on the backend of Amazon Europe. If the seller requires modification, do not upload it to the US site after the modification, otherwise it will cause a second review of the US insurance, which will be very troublesome! After the modification, let the seller save it by himself and upload it when the port is available on the European site!

How to buy the best Amazon business insurance?

PICC x Zhaodanmao Cross-border is an insurer officially recognized by Amazon, and it is also the cheapest and fastest responder among all platform insurers;

Insurance providers that can issue insurance certificates on the same day, and 100% of the certificates issued can pass Amazon backend review, and the policy covers the world;

And the insurance certificate can cover more than 95% of the products on sale on the platform. If the insurance certificate fails, PICC’s after-sales service will be responsible to the seller!

Regarding whether the European site has a port upload policy:

Some sellers also consulted Amazon customer service, and the customer service said that there would be no upload path in the background, which is different from the United States, but if the sales volume reaches the threshold, it needs to be purchased. If the buyer has a claim, Amazon will ask you to provide information.

The key to whether to buy insurance lies in the risk situation of your product. If the product is a high-risk product, it is prone to accidents and has a large number of claims, so it is better to buy it. If the product is low-risk and has fewer claims, you do not need to buy it.

After all, there is no upload channel in the background, so you will not be forced to buy it. If you buy insurance in the Amazon Insurance Accelerator, one policy can cover global sites, provided that it is registered using the same entity.

In addition, if you have purchased insurance for the US site that covers Europe and the UK, it will be fine. If the previous insurance does not cover it, you can find the previous insurance provider to add the site you want to cover again, just like the way Zhaodanmao contacted the person in charge of China Insurance Group before.