Insurance Requirements for Amazon Service Providers: What You Need to Know
Amazon requires every service provider to maintain active general liability coverage (minimum $1 million per occurrence) and, where applicable, workers’ comp and commercial auto insurance. Policies must be uploaded in the Seller Central Insurance module; missing or expired documents can trigger account suspension, as seen in a Texas case resolved in 48 hours after uploading the correct workers’ comp certificate.
Overview
Amazon mandates that every service provider who sells on its marketplace keep active, valid insurance policies as a prerequisite for maintaining selling privileges. The requirement covers general liability coverage for all providers and may also include workers’ compensation and commercial auto policies, depending on the state and the nature of the services offered. Failure to keep the insurance records current in Seller Central can trigger account suspension, making compliance a critical operational task for sellers.
Key Points
- General liability is non‑negotiable — All Amazon service providers must hold a general liability policy that meets Amazon’s minimum limits, regardless of the specific service category.
- Workers’ compensation varies by state — Sellers in states that enforce workers’ comp must upload proof of coverage, while those in opt‑out states can submit an exemption form.
- Auto insurance applies when vehicles are used — If a service involves driving to a customer’s location, the seller must provide documentation of commercial auto coverage that satisfies state regulations.
- Expiration dates are the seller’s responsibility — Amazon may send reminder emails, but the onus remains on the provider to monitor policy renewal dates and update the system before expiration.
- Non‑compliance can suspend selling rights — An outdated or missing insurance file can lead to immediate suspension of the seller’s account, cutting off access to revenue and customers.
- Documentation must be uploaded in Seller Central — All required certificates, policy numbers, and coverage limits need to be entered and attached through the dedicated insurance section of the seller’s profile.
How to Submit Your Insurance Information
- Access the insurance module — Log in to Seller Central, click the Account Settings icon, and select Insurance under the Your Profile menu.
- Enter general liability details — Fill in the policy number, insurer name, coverage limits (e.g., $1 million per occurrence), and the expiration date; attach a PDF copy of the certificate of insurance.
Analysis & Recommendations
Why This Matters
Without the required certificates, Amazon can suspend a seller’s account, cutting off revenue and customer access. The policy specifies exact limits ($1 M liability) and state‑specific workers’ comp rules, making timely uploads essential to avoid 48‑hour downtime and potential loss of sales.
Key Takeaways
- General liability coverage of at least $1 million per occurrence is non‑negotiable for all service providers.
- Workers’ compensation is required in states that enforce it; opt‑out forms are accepted only in exempt states.
- Commercial auto insurance must be uploaded when services involve vehicle use, matching state regulations.
- Account suspension can occur instantly if insurance documents are missing or expired, as demonstrated by a 48‑hour reinstatement after correction.
Recommended Actions
- →Log in to Seller Central > Account Settings > Insurance and upload the general liability certificate with policy number, insurer, $1 M limit, and e...
- →If your state requires workers’ comp, upload the certificate; otherwise, select the Opt‑Out checkbox and submit the signed exemption form in the sa...
- →For any service using a vehicle, add the commercial auto policy details and attach the policy page showing vehicle coverage in Seller Central.
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