Overview

Amazon has started requiring every third‑party seller to upload a valid liability insurance certificate through Seller Central. The demand, which appears as a notification in the Performance area, applies to both new and veteran accounts and is meant to strengthen shopper safety and protect brand owners. Ignoring the request can lead to listing holds, account warnings, or even suspension, making compliance essential for uninterrupted sales.

Key Points

• Universal Requirement — As of early 2024, Amazon’s insurance rule covers all marketplace sellers, not just those in traditionally high‑risk categories such as toys, electronics, or chemicals.
• Minimum Coverage — The platform typically asks for at least $1 million in general liability insurance; products with higher inherent risk (e.g., cosmetics, food, or children’s items) may need $2 million or more.
• Acceptable Formats — Sellers can submit a PDF binder, a certificate of insurance, or a clear screenshot of the policy page that displays the insurer’s name, policy number, effective dates, and coverage limits.
• 14‑Day Deadline — After the notification, sellers have two weeks to provide the documents; failure triggers an automatic hold on new listings and generates a “Policy Violation” alert.
• Brand Registry Consequence — Brands enrolled in Amazon Brand Registry must also meet the insurance demand; without proof they lose access to tools such as Project Zero, Transparency, and other brand‑protection features.
• Broker Partnerships — Amazon works with a handful of approved insurance brokers that sell “Amazon‑ready” policies, allowing sellers to purchase compliant coverage instantly and push the certificate directly from the broker’s portal.

How the Insurance Verification Process Works

1. Alert Delivery — Amazon posts a “Proof of Insurance Required” banner inside the Performance tab. For instance, a seller who recently added a line of kitchen gadgets might see a notice reading, “Upload liability insurance by June 10 to keep your new listings active.”