Amazon mandates small business insurance for its Pro Merchants and sellers generating over $10,000 in monthly sales. However, even if you or your business don't meet these requirements, acquiring business insurance remains crucial. It serves as a safeguard for Amazon sellers against various risks. Without it, you might be liable to cover claims personally.
When starting their Amazon businesses, many sellers, myself included, often overlook the requirement for liability insurance once they hit $10,000 in monthly revenue. Upon reaching the $10,000 milestone, you are given a 30-day window to furnish your insurance certificate to Amazon, failing which may result in suspension of your seller account. While it might seem frightening to some, obtaining e-commerce insurance isn't as complex or costly as one might imagine.