Amazon Seller Insurance: Requirements and Best Practices

# Amazon Seller Insurance: Requirements and Best Practices ## Insurance Requirements Amazon requires liability insurance for sellers meeting certain thresholds. This requirement is not merely a formality—it is a core governance obligation that protects your business, your customers, and your selling privileges. Sellers who fail to provide adequate insurance documentation when requested face listing suppression and potential account deactivation. Understanding the requirements before you reach the threshold ensures uninterrupted operations. ## When Required ### Amazon's Thresholds - Revenue thresholds - Product categories - Risk factors - Geographic considerations Amazon typically requires commercial liability insurance once a seller's gross revenue exceeds a defined monthly threshold for three consecutive months. However, sellers in high-risk categories—such as consumables, electronics, children's products, and health-related items—may be required to provide insurance regardless o...