Overview

Amazon is enforcing per-unit reimbursement caps on its Multi-Channel Fulfillment (MCF) service, limiting the amount sellers can recover when inventory is lost or damaged during fulfillment of non-Amazon orders. The policy places a hard ceiling on payouts — $450 per unit for US sellers — and recommends third-party insurance for higher-value goods. Sellers who use MCF to fulfill orders from their own websites or other platforms need to evaluate whether their inventory is adequately covered under the new limits.

What's Changing

• Per-unit reimbursement maximums — Amazon now caps the dollar amount it will pay out for each eligible unit lost or damaged during MCF fulfillment
• Marketplace-specific caps — Limits vary by region: $450 in the US, $400 in other North American marketplaces, €275 across major European markets, and £250 in the UK
• MCF-only scope — These caps apply exclusively to Multi-Channel Fulfillment orders, not standard FBA reimbursements, which remain under separate terms
• Insurance advisory — Amazon explicitly recommends that sellers with inventory valued above the caps purchase third-party coverage

Understanding the Cap Structure

The reimbursement limits apply per individual unit that Amazon determines was lost or damaged during the MCF fulfillment process. For most US-based sellers moving products with an average unit value well under $450, the practical impact will be minimal. The caps become a real concern for sellers dealing in electronics, premium beauty products, luxury accessories, or other categories where individual units routinely exceed these thresholds.

European sellers face tighter limits, with €275 per unit across Germany, France, Italy, and Spain, and £250 in the UK. Sellers operating MCF across multiple international marketplaces should review the specific cap for each region where they fulfill orders.

How MCF Reimbursements Differ From FBA

Sellers sometimes conflate MCF and FBA reimbursement policies, but they operate independently. Standard FBA reimbursements cover inventory fulfilled for orders placed directly on Amazon's marketplace. MCF reimbursements cover orders originating from external channels — a seller's Shopify store, their own website, or other e-commerce platforms — that route through Amazon's warehouse network for picking, packing, and shipping.