Amazon Requiring Liability Insurance for Online Sellers – Avoid Account Suspensions

Amazon sellers, you were told months and months ago that you have to comply with Amazon’s requirement to have insurance. Low and behold, sellers are receiving notices to send proof of insurance within 30 days or their account is suspended.

So why is insurance vital? Why does Amazon require it? It’s all about covering your behind. The only broker I recommend is Ashlin Hadden. She is the number one liability insurance broker in our space. She’s also my broker and the services off the charts good. I’ll tell you about a claim that I had and she responded to me within minutes from me texting her from a helicopter.

But anyway, what are the benefits of insurance and why do you need to have it?

Number one, insurance provides a lawyer to defend claims against you.

It’s a huge, huge benefit because if you have to hire me privately to defend you because a customer claims to have been hurt by your product, it’s going to cost you thousands, maybe tens of thousands of dollars to defend yourself. And you also have to defend Amazon.

Number two, it provides indemnification.

Meaning if you have to pay money to settle or you go to trial and you lose, the insurance company covers it. That also covers Amazon. Why am I mentioning Amazon so much? Because Amazon requires you to defend and indemnify for losses. So that’s why you have to have liability insurance. That’s why Amazon is sending you the notices. And the tip is get insurance.

So let me tell you now about my experience with Ashlin Hadden, because I buy my insurance from her.

Ashley Hadden She insured a house that I have. The very first night I was in this house, it’s way up in the country (I’ve got dirt bikes & ATVs). There was a kid who’s riding the ATV. The ATV had a piece of cracked plastic in it. He hits a tree and the plastic cuts his leg, and it’s such a bad cut. I get the kid off. I rip off my shirt. I put a tourniquet on and we end up getting air lifted from Hancock, New York to Albany Medical Center.

From the helicopter, I am texting Ashlin. “Ashlin, this kid is going to need money to pay for this helicopter. They’re going to need to pay for the hospital care.” And she wrote back to me while I was still on route to the hospital. That’s how responsive Ashlin is. That’s why I recommend her, because she is responsive. And in addition to selling me the insurance that I need, she’s the number one broker when it comes to e-commerce.

ashlin hadden

So get liability insurance. Amazon’s suspending you for it and get it from Ashlin. And if you need to reach me for any reason, here are the four different ways you can contact me. Also, if you like these videos, learn from these videos, you appreciate our awesome editing team, hit the like button, smash the like button, stomp the like button and share the video with other Amazon sellers or whatever groups you might be part of.