Zero sales no longer exempt you from this.
By Vanessa Hung · September 15, 2026 · Curated by George's Blog
Zero sales no longer exempt you from this.
Amazon updated its commercial liability insurance requirements effective November 2, 2026, adding two new triggers on top of the existing revenue rule.
For the record: Commercial liability insurance covers your business if a product you sell causes bodily injury or property damage. Amazon has required it under section 9 of the Business Solutions Agreement for years.
The two new triggers work differently, one is tied to the product category, the other to where the seller is based.
1️⃣ The first ties to category, the requirement has been treated as something that only shows up once a seller crosses $10k in monthly gross proceeds, the total sales value before fees, now under the update, any ASIN listed in a category with enhanced safety listing requirements needs $1M in coverage per occurrence and in aggregate, no matter how much that ASIN has sold.
Categories in that group include: children's items, cosmetics, ingestible products, and lithium battery items, and Amazon can expand the list as it reviews risk data.
2️⃣ The second ties to location: sellers based in Mainland China face this directly, insurance now has to come through the Amazon Insurance Accelerator, or AIA, and any newly submitted third party policy gets rejected once the rule takes effect.
The logic behind both changes is the same, Amazon is moving the trigger from a sales threshold to a listing decision, coverage exists the moment a flagged product goes live, independent of whether it has sold.
For China based accounts, the same shift applies to sourcing, a policy only counts if it comes through a channel Amazon can verify directly, which cuts down on Certificates of Insurance getting rejected at the exact moment a claim needs them to hold.
So this might be a good moment to pull your catalog and flag every ASIN sitting in an enhanced safety category before November 2, and confirm your Certificate of Insurance, the document your insurer issues to prove active coverage, names Amazon.com Services LLC and its affiliates as additional insured.
And if your business is based in Mainland China, start the Amazon Insurance Accelerator process now instead of waiting for a rejection notice.
♻️ If you know someone who sells in a flagged category, repost it so they see it.
#AmazonSellers #EcommerceCompliance #ProductLiability #SellerCentral #AmazonPolicy