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We're excited to announce Coverdash's new partnership with Viably, a leading banking and financial services platform built for eCommerce businesses. Through this integration, Viably customers can now acquire tailored commercial insurance coverage directly within the Viably platform. Viably provides eCommerce sellers with a comprehensive suite of financial services and tools to scale their businesses – including continuous working capital, global accounts, cards, cross-border payments, and  profitability analysis tools. Their platform simplifies the complexity of running an eCommerce business, empowering business owners to focus on growth and revenue. Coverdash's embedded insurance technology allows Viably to offer the essential commercial insurance policies needed to operate an online business – including general liability, professional liability, cyber liability, and other key coverages. By handling insurance alongside their other financial management tools in Viably, eCommerce merchants can conveniently protect their business from risks while potentially saving up to 30% on premiums. An estimated 75% of small businesses in the US are underinsured. Coverdash and Viably are working together to change that, empowering online sellers with the coverage they need to operate confidently and build creditworthiness. With Coverdash's access to 30+ top commercial insurance carriers, Viably customers receive competitive rates and streamlined purchasing. This partnership brings much-needed simplicity to eCommerce business management. Running an online business is challenging enough – let Coverdash and Viably handle your insurance needs within the same platform you use to manage your working capital, banking, accounting, and other financial operations. About Coverdash Coverdash is a fully digital business insurance agency that specializes in serving the insurance needs of businesses of all shapes and sizes. Coverdash's embedded technology enables any partner to host its end-to-end insurance experience with a single line of code. Coverdash is headquartered in New York and is a licensed insurance agency across all 50 states. Interested in partnering with Coverdash? Check out: https://www.coverdash.com/partner About Viably At Viably, our vision is to empower sellers to scale and build the global empire of their dreams. By offering a comprehensive suite of services—including working capital, payments, global banking, cards, spend management, and profit analytics—we provide a seamless all-in-one solution that saves time, ensures access to continuous capital, and simplifies day-to-day operations. We are committed to revolutionizing how ecommerce sellers manage their finances and scale their businesses. For more information, visit https://www.runviably.com. 

As an ecommerce seller based outside of the United States but selling into the US, you need to make sure you have US-based business liability insurance to protect your business from legal claims and fulfill Amazon’s (and other ecommerce platforms) seller insurance requirements. However, securing this insurance can be a challenge, as insurance companies may require a US-based address to issue the policy. Don't worry! Coverdash has you covered. We provide insurance solutions for many small and medium enterprises with US operations, and we're here to help you find the right coverage for your business. In this blog post, we'll outline three options for obtaining a US-based address to get the insurance you need. Option 1: Use the Address of Your Attorney If your overseas company has an attorney or law firm representing you in the United States, you may be able to use their address to obtain US-based business liability insurance. This option may be suitable for companies that have an established relationship with a US-based attorney or law firm. Using the address of your attorney can provide a stable and permanent location for your business to receive important legal documents and correspondence related to your insurance policy. However, it is important to ensure that your attorney is willing to receive your business mail and that they have the appropriate permission to do so. Option 2: Use the Address of Your 3PL Provider Another option for obtaining a US-based address for your overseas company is to use the address of your third-party logistics (3PL) provider. A 3PL provider can offer warehousing, shipping, and distribution services for your products in the United States. Using the address of your 3PL provider can provide a physical location for your business to receive important documents and correspondence related to your insurance policy. As most insurance correspondence is virtual, this will place minimal if any burden on the 3PL provider. Option 3: Use a Virtual Office Service A virtual office service is a cost-effective solution for overseas companies that need a US-based address. Virtual office services provide a physical address, mail handling, and telephone answering services for your business. This option can be especially useful for startups and small businesses that do not have a physical presence in the United States. Using a virtual office service can provide a professional image for your business and allow you to receive important legal documents and correspondence related to your insurance policy. Obtaining US-based business liability insurance can be a challenge for overseas companies, but there are options available. Using the address of your attorney, 3PL provider, or a virtual office service can provide a US-based address for your business to receive important legal documents and correspondence related to your insurance policy. Your Ecommerce Insurance Needs At Coverdash, we understand the unique needs of international ecommerce sellers doing business in the US. Our team of experienced insurance professionals can help you find the right insurance coverage for your business. We offer a range of insurance solutions, including general liability, product liability, and workers' compensation insurance. Contact us today to learn more about how we can help protect your business.

Whether you are new to the e-commerce world, or have been in business for a long time, it is important that your company is protected online. According to the 2022 Cost of a Data Breach Report by IBM and the Ponemon Institute, the average cost of a data breach is about $4.35 million dollars. This takes into account legal costs, regulatory costs, and loss of brand equity and customers. It’s enough to put a small business out of business…forever. Is Your E-Business Prepared for a Cyber Security Attack? E-commerce businesses are particularly at risk to threats and cyber-attacks since all of their transactions occur online. A survey by CloudBees found that 93 percent of executives are prepared to deal with a ransomware issue or cyberattack. However, 45 percent admit their security software is not sufficient to handle a cyber attack and 64 percent would not know who to contact first if their website was attacked. If your business does not have a plan of action regarding cyber-attacks, it is time to put one in place. Types of Cyber Security Attacks The following are ways that your e-commerce company’s security could be compromised: Malware: Malware is dangerous software that infects a company’s devices and steals data or causes damaged. This can be transmitted through email attachments, visiting websites, or access to the actual device. Ransomware: When a hacker encrypts a company’s data and demands a ransom to correct it, it is referred to as a ransomware attack. These can be very costly when the ransom and any damage control afterwards is considered. Spam: Spam are unwanted emails that are sent en masse to company employees. These emails may contain malware or links to malicious websites. DDoS: A DDoS or Distributed Denial of Services happens when a company’s server is overloaded with requests from hackers. This type of activity can crash the entire website. Phishing: Phishing tricks employees into clicking on links or attachments in emails or text messages which then can install malware or steal information. Since there are so many ways that an e-commerce company can be attacked, it is imperative to safeguard your company against a security breach. How to Improve E-commerce Cybersecurity Most companies could benefit from making improvements to their security processes. There are multiple solutions that can help ensure that your business is protected. Data Protection: Data is at the center of every business transaction. All online data must be secured so that it is not compromised or leaked. The equipment used can help to determine what resources are needed to create a highly secured connected system as a less secure data system can make a cybersecurity attack easy. A system that is connected to the public internet requires a higher level of security since it is easy to find and attack while a system that is isolated from other networks has a much lower risk of a security issue. Backup Data. Because data is so important, it should be backed up regularly to make sure it is not lost in an attack. When data is backed up, all of the information is hosted off-site, so even if the company’s devices are compromised, the data can be recovered. Educate Employees. Employees should be made aware of how to identify cyber security threats, and what to do if they suspect their device has been compromised. Internal employees should be trained on security procedures, such as securing passwords and maintaining current anti-virus software. Routine training can help protect against security breaches. Use Strong Passwords. The responsibility of keeping customers’ information safe lies with the online retailer. Ask customers to add special characters, symbols, and numbers when creating a password. Strong passwords are an easy way to protect a company’s information internally as well. Employees and upper management should change their passwords regularly to avoid a hack. Use a Secure E-commerce Platform. E-commerce websites should only be hosted on certain platforms. One that supports sophisticated object-oriented programming languages is ideal. There are many options for platforms that integrate easily but offer high security. A strong SSL (Secure Sockets Layer) authentication for web and data protection will ensure the security of all online transactions. A third-party will not be able to understand the information due to the encryption. It also helps the customer trust in the website’s security. Take a Complete Approach with Insurance.  Layering security is a good way to keep an online business safe from cyber attacks. A complete process approach is necessary to handle cybersecurity threats. Prevention, detection, containment, and recovery are all important parts of the process. Most importantly, getting the proper cyber insurance in place will protect your business from any cyber related risks. Cyber insurance coverage can help you recover faster if you are a victim of a security breach. There are several options that can cover everything from the removal of a virus to the reprogramming of devices and access points. Have a Business Continuity Plan to Cover Cyber Attacks A business continuity plan lays out the steps to follow so your business can resume operations after a disruption like a cyber-attack. While this won’t prevent cyber-attacks, it can lessen the amount of risk a business experiences. Protecting your business against cyber attacks should be a priority for your entire business. Coverdash can help you get the best policies to protect your e-commerce business, including general liability and cyber insurance in case you are hit with a cyber security breach.  Our team of insurance experts will find your business the best coverage at the most affordable rates to best fit your business’s needs, and can provide coverage within minutes. We’ll also assist you in getting your COI (Certificate of Insurance) on your e-commerce platform, so you remain complaint with platform requirements. Contact us today to discuss your options for insurance coverage.

Does every e-commerce business need insurance?  Insurance is necessary for any business, regardless of size or industry. Today, more and more people are turning to the internet to shop online and conduct business. Online retailers have risks and liabilities just like any other business and need to make sure they are protected. What is E-commerce Insurance? The tremendous growth of the e-commerce space has meant that insurance companies have created policy options specifically designed to protect e-commerce merchants. There are plenty of nuances when it comes to e-commerce businesses so insurance should focus on the risks that your specific business faces. For example, a company that manufactures their own products should have product liability insurance as part of their coverage. Separating e-commerce insurance from general commercial insurance makes it accessible to businesses that handle international shipments, customer relations, and online liabilities. E-commerce insurance policies protect against the specific risks an online company might deal with. What Does E-commerce Insurance Cover? A standard property and casualty insurance policy might not cover issues that arise for your business, such as damage to inventory during a natural disaster. E-commerce insurance covers a business should they not be able to sell their products online due to a covered risk. This is especially important should a cyber-attack, virus outbreak, or other hack occur. Commercial Property/General Liability:An e-commerce policy can incorporate these coverages to protect against property damage or injury on the premises of the property. Product Liability: Online retailers that manufacture or import products should be protected in the event that the product causes an issue or harm a customer. E-commerce insurance takes care of the product legally and can cover any incurred medical expenses for the customer. Cyber Liability: If an online business is the victim of a cyber-security attack or data breach that results in data loss, an e-commerce insurance policy will cover the cost to repair the data system as well as any legal fees to resolve the situation. Why Your E-Commerce Company Needs Insurance There are several important reasons why every e-commerce business should carry insurance. ·       Marketplace requirement. Many marketplaces including amazon are now requiring sellers that hit a certain sales threshold, to have an insurance policy in place before continuing to sell on their platform. Not having the right insurance coverage in place may result in your business being suspended from selling on many marketplaces. ·       Coverage for Legal Expenses.  The risk of being sued is part of running any business. E-commerce businesses are no exception. Insurance that covers legal expenses can be used in any situation in which the business is brought to court. This covers legal fees as well as damages that are awarded to the plaintiff. The high cost of legal fees could put an e-commerce business in bankruptcy. ·       Protection from Defective Products. Defective products can cause injuries to customers, which creates a risk to e-commerce businesses that can be held responsible for these injuries. In 2021, 11.1 million consumers were treated in emergency room hospitals due to product injuries. E-commerce insurance will cover the cost of legal fees, settlements and judgments as well as medical bills of the injured consumer. ·       Protection from Supply Chain Issues. E-commerce businesses rely heavily on their supply chains, which have become increasingly complex. Suppliers send raw materials that are manufactured and then send to the customer as a final product. There are many risks along the supply chain from breached contracts with the suppliers to goods that are damaged in transit. Insurance can protect against supply chain issues such as damage to goods, fraud, stolen goods, and contract breaches. ·       Inventory Protection. If your e-commerce business sells goods, inventory protection is important. Lost or stolen products mean a loss of income for an e-commerce business. Insurance is also necessary when inventory is damaged in a fire or natural disaster. E-commerce retailers need to pay for replacements and additional shipping costs for any lost or stolen items. There can also be damage to the e-retailer’s reputation if they are not satisfied with the reimbursement process. Insurance can mitigate these financial risks by reimbursing for replacements or coverage for legal fees. Tip:  Base your coverage on your projected inventory for the next year, not what is currently in stock. ·       Website Coverage. A business can temporarily shut down for several reasons. When an e-commerce website gets shut down, even for a short period of time, the company can lose income. If your website is built on a platform that is hosted by a third-party provider, they are not responsible for protecting your business in the event of a cyber security breach. E-commerce insurance can minimize the financial damage that occurs when a website goes down. ·       Protection Against a Cyber-Attack. A cyber-attack is a serious risk for an e-commerce business. A data breach will expose sensitive information, such as a customer’s credit card number. A hacker can use this information for identity theft or to make fraudulent purchases. On a larger scale, a data breach can result in loss of data or the shutdown of a business’s website. While this can be a costly attack, e-commerce insurance can protect a company from financial losses associated with a cyber-attack. Insurance policies reimburse companies for lost data, revenue, and customers, and can also take care of the cost of re-establishing the data or website. E-commerce data loss coverage varies from one policy to the next but is usually in the large range of $1,000 to $50,000 worth of coverage per customer. Getting E-commerce Insurance E-commerce businesses face numerous risks from manufacturing to shipping products. While it is not possible to eliminate all risks, insurance can help to protect your company against these events and can be customized for your company’s size and policy needs. Coverdash will provide your business with customized policies to protect you against risks. Our  insurance experts will find your business the best coverage at the most affordable rates to best fit your business’s needs. We are available to discuss how we can best protect your e-commerce business against risk and loss.

Amazon is one of the first places people look when they have something they want to buy, and 9 out of 10 adults have gone to Amazon to price check a product. Amazon’s customer service and fast shipping has made it the go-to ecommerce destination for online shoppers, and that makes this platform the go-to ecommerce platform for sellers looking to start an ecommerce business. Have you been considering selling on Amazon? If you’re ready to start making money through this ecommerce platform, here are five easy steps to get started with Amazon selling. Choose Your Amazon Seller Business Model Amazon sellers have different models for earning on the platform. According to Junglescout’s 2022 Amazon Seller Report [https://www.junglescout.com/amazon-seller-report/], the most popular business models on Amazon in 2022 are: * Private label – 59% * Wholesale – 26% * Retail and online arbitrage – 26% * Dropshipping – 10% * Handmade goods – 8% Private label [https://www.bigcommerce.com/blog/amazon-private-label-products/] typically involves creating your own brand and then adding your brand name and logo to a product. Don’t worry, you won’t have to invent something completely new and innovative to go the private label route. You can select a product and source a manufacturer who will add your logo to their product and packaging. Wholesale [https://www.junglescout.com/blog/selling-wholesale-on-amazon/] businesses source bulk products from a manufacturer at a discounted rate and then resell those products at a retail price on Amazon. You are likely selling the same products and brands as other sellers when you go the wholesale route. Retail and online arbitrage [https://www.junglescout.com/blog/amazon-retail-arbitrage/] is where many sellers begin their Amazon sales journey, especially if they don’t have a current brand or previous e-commerce experience. With retail and online arbitrage, you source products directly from stores and websites and then resell those products through Amazon. If you love shopping for amazing discounted deals, you could buy a deeply discounted item and then resell it at its regular price (or higher) via Amazon. RA and OA is a popular starting point because of the low-cost barrier to entry. Dropshipping [https://sell.amazon.com/fulfillment-by-amazon/fba-multi-channel] is a popular business model for ecommerce sellers who don’t want to manage physical inventory. With a dropshipping model, your products are kept at a third-party location. When you receive an order through your online store, you initiate that third-party dropshipping partner to pack and ship the inventory to your customer. Amazon allows you to dropship with them, even if you’re not selling your products on the Amazon platform. Handmade goods [https://sell.amazon.com/programs/handmade] is a new category on Amazon, and it’s allowing creators to make and sell handmade and crafted items similar to Etsy’s platform. Amazon has an artisan application and audit process to ensure they’re building a shop of genuinely handcrafted goods. They’ll waive the monthly Professional Selling Fee ($39.99) for all approved artisan sellers. FBA vs. FBM In addition to choosing your Amazon seller business model, you’ll also choose your distribution model: either FBA (Fulfilled By Amazon) or FBM (Fulfilled By Merchant). With FBA, you’ll have your goods delivered to Amazon’s warehouses, and Amazon will store your goods and then pack and ship them when an order comes in. Amazon will also handle customer service and returns. This is how you get your products to be Prime and eligible for fast shipping. If you choose FBA, be aware that you will have to pay monthly storage fees and shipping fees to Amazon in addition to any selling fees. With FBM, you will be 100% responsible for storing, packing, and shipping your products to customers. You can store and ship yourself or outsource this to a third party. Either way, you’ll be responsible for meeting Amazon’s service levels related to shipping and orders. In addition, you must provide customer service and returns processing for FBM orders. While FBM gives you more control over your inventory and fewer Amazon fees, longer shipping times and the inability to show up when the Prime filter is turned on could negatively affect your sales. Understand Amazon Seller Requirements Selling on Amazon is a legitimate business model, and you will want to treat it as such. That means fully understanding Amazon’s seller requirements and putting things in place to ensure your business is in place, such as business documents, tax IDs, and insurance. Business Documents To start, a number of documents are required to sell on Amazon USA, including your business information, tax ID, and state tax ID. If you haven’t already done so, now is a good time to set up your business and take these crucial first steps. Business Insurance Amazon sellers who are Pro Merchants and sellers with gross sales over $10,000 in a single month are required to carry business insurance. According to the Amazon Services Business Solutions Agreement [https://sellercentral.amazon.com/gp/help/external/G1791?language=en_US], sellers who meet these requirements must carry a minimum of $1M per occurrence and $1M aggregate limits of commercial general liability insurance and product liability insurance. Do you need commercial insurance for your e-commerce business? Coverdash helps ecommerce business owners meet the insurance requirements set by Amazon and other popular selling platforms. We specialize in e-commerce insurance solutions, and our customer service team will help you find the best rates from top-rated carriers, as well as submit proof of insurance (also known as a certificate of insurance) to the platforms on your behalf so you can worry less about insurance and focus more on selling. Get an e-commerce insurance quote from Coverdash. Create an Amazon Seller Account Once you’ve gathered all the necessary documents, it’s time to create your Amazon Seller Account. [https://sell.amazon.com/sell] Before you sign up, make sure you’re ready with the following: * Business email address or Amazon customer account * Internationally chargeable credit card * Government ID (identity verification protects sellers and customers) * Tax information * Phone number * A bank account where Amazon can send you proceeds from your sales Choose Your Selling Plan When you first create your Amazon seller account, you can choose between two different seller plans: the professional selling plan and the individual selling plan. The professional selling plan costs $39.99 monthly. With the individual selling plan, you will be charged $0.99 for every unit you sell on the platform. This choice between the two plans is relatively easy to make. If you plan on selling more than 40 units per month, you will likely save more money with the professional selling plan than you will with the individual selling plan. Source, Buy, or Create Your Products Now comes the fun part: finding, buying, or making your Amazon products! If you are interested in wholesale or private labeling, you’ll want to find manufacturers who will sell to you at wholesale prices. Use a tool like JungleScout [https://www.junglescout.com/] or Helium10 [https://www.helium10.com/] to do product research. These tools let you identify trending and popular products and discover how profitable a product is so you know what to start sourcing. If your business model is retail or online arbitrage, then you get to start shopping for those deeply discounted products. Again, you’ll want to use tools like JungleScout or Helium10, in addition to the Amazon Seller app [https://sell.amazon.com/tools/amazon-seller-app]. With these apps downloaded to your phone, you can find a great deal in a store and instantly verify if that product will sell on Amazon before you even take it to the register (or add it to your online cart). Makers and creators can get to work on their artisanal handmade goods. You can self-publish books and ebooks, create print-on-demand products, and even launch a subscription box! Explore all of Amazon’s programs and selling opportunities here. [https://sell.amazon.com/programs/] List Your Products and Start Selling Your final step to selling on Amazon is to list your products in your Amazon store so you can start selling. List Your Products on Seller Central Once you register as an Amazon seller, you’ll have access to your Seller Central account, where you can: * Keep track of your inventory and update your listings from the Inventory tab * Download custom business reports and bookmark templates you use often * Use customer metrics tools to monitor your seller performance * Contact Selling Partner Support and open help tickets using the Case Log * Keep track of your daily sales for all the products you sell on Amazon If you are listing a product that already exists on the Amazon platform, you’ll match an existing listing. You'll create a new listing if you have a brand new product that is not currently on the Amazon platform, and you are the first and only seller. Start Selling! Learn everything you can about different ways to make — and improve — sales on Amazon. Amazon recommends sellers follow their Perfect Launch strategy to maximize sales in the first 90 days. Utilize Amazon’s five selling programs for a perfect launch, including: 1. Brand Registry 2. A+ Content 3. Fulfillment by Amazon 4. Automated Pricing 5. Advertising Learn more about the Perfect Launch here. [https://sell.amazon.com/grow] Are You Ready to Become an Amazon Seller? There is tremendous potential for Amazon Sellers. Despite lasting supply chain disruptions arising from a global pandemic, 76% of Amazon sellers are profitable in 2022. And 25% of sellers with 2 or fewer years in business on Amazon and 60% of businesses with 3 years or more earn over $100,000 in annual ecommerce revenue. If you’ve been dreaming of starting a side-hustle, expanding an existing business, or launching your brand, Amazon is still one of the best places to sell online. Get Amazon Seller Insurance from Coverdash Coverdash helps ecommerce sellers meet Amazon’s insurance requirements so you can get started on this seller platform. Our insurance brokers specialize in ecommerce insurance, and we provide top-rated coverage at rates sellers can afford. Once we’ve got you covered, our team continues to support you by submitting a COI (certificate of insurance) to Amazon on your behalf, making it that much easier for you to start selling. Request a quote for Amazon seller insurance from Coverdash today.

Do ecommerce businesses need insurance? Ecommerce is a booming business. Ecommerce sales amounted to USD 4.9 trillion in 2021, and that figure is expected to grow by 50% by 2025. You don’t have to be a megabrand to start selling things online. With the variety of selling platforms available today, anyone can start an ecommerce business. Whether you’re selling handmade goods on platforms like Etsy, creating your own private label brand, or shipping wholesale products to Amazon, selling online is an accessible business model with a ton of potential. Before you get started selling online, however, you will have to take care of a few steps to ensure you are approved to sell on the platform. Some platforms may require you to have a resell license, a business license, a federal tax ID, and, most notably, small business insurance to “set up shop.” Why Do You Need Ecommerce Business Insurance? You may be wondering why so many of the selling platforms have insurance requirements. The answer is surprisingly simple: Business insurance protects you and your selling platforms against the unexpected. Imagine that you’ve privately labeled a personal care product and shipped 2,000 units to Amazon. But, unbeknownst to you, the formula contains an ingredient that can cause a reaction for some users. Your customers order the product and some break out in a rash. Angered and injured, some of these customers decide they will sue you — and the selling platform — for the bodily injury caused by your product. If you have a general liability insurance policy, it’s designed to protect you against third-party lawsuits for property damage or bodily injury. If you’re facing a claim,  your insurance can kick in to help pay for the costs of medical bills, lawsuits, legal fees, settlements, and judgments up to your policy's limit. This means you’re protected from the potentially high costs of paying for an injury out of your own pocket, and so is your selling platform. Understanding Ecommerce Insurance Definitions Before we get into the insurance requirements for each platform, let’s take a moment to define and understand a few ecommerce insurance concepts: What is general liability insurance? Most all businesses can benefit from the coverage provided by general liability insurance. This foundational business insurance policy is intended to protect your business against third-party claims for bodily injury or property damage resulting from your product or business activities. General liability coverage is designed to protect sellers against personal and advertising injury claims for slander, libel, or copyright infringement. If one of your competitors feels like your recent Tweet or Facebook ad is bashing their products or that your product name infringes on their copyright, general liability is meant to help cover the costs of lawsuits and legal fees. If you’re an online retailer, general liability insurance (GLI) may also provide additional product liability coverage for manufacturing defects, design flaws, or your failure to provide adequate instructions or warnings on the label. Ask your insurance provider if product liability is included with your general liability coverage or if you’ll need to add it as an endorsement to your GLI policy. What is a business owner's policy (BOP)? A business owner’s policy (BOP) is a specialized policy that combines a few of the most common types of insurance that a small business might need. A BOP typically includes general liability plus commercial property coverage, which can benefit any business with a physical location (such as a retail store, warehouse, etc.), products, and equipment. BOPs are a very popular way to obtain GLI because they are often more affordable than purchasing the two policies separately. For many ecommerce platforms, a BOP will meet any general liability insurance requirements. What are policy limits? A policy limit is a maximum amount your insurer will pay for an insurance claim. If you have a policy limit of $100,000, then your insurer will pay up to that amount for a claim. But what happens if your claim exceeds your policy limit? If you have that same $100,000 policy limit and get hit with a liability claim for $250,000, then your insurance will cover the $100,000. However, you’ll be responsible for the remaining $150,000 due. What are per-occurrence limits v.s. aggregate limits? A policy limit is an easy way to understand how much your insurer will pay out in the event of a claim. A more nuanced way to look at policy limits is to understand the difference between per-occurrence limits v.s. aggregate limits. * per-occurrence limit: the maximum amount your insurer will pay per occurrence, or per incident * aggregate limit: the maximum amount your insurer will pay over the entirety of your coverage period (commonly a 6 to 12-month period) Understanding the difference between the two can help you ensure you’re selecting the right coverage for your seller's business and not leaving yourself open to unnecessary risk. Don’t confuse the two. What is an umbrella policy? Some sellers choose to add an umbrella policy to their insurance coverage. Umbrella insurance is meant to extend the limits of your underlying policy. It kicks in when you’ve reached your policy limits and is intended to protect business owners from the risk of very large lawsuits or high-dollar claims. In the previous example, you could still be responsible for paying out of pocket for a $250,000 claim if your GLI policy limit is only $100,000. If you have umbrella insurance, however, the umbrella policy would kick in after the GLI policy to cover the remaining amount, ensuring you don’t have to pay out-of-pocket for excessive claim amounts. Now let’s take a look at the insurance requirements from the most commonly used ecommerce platforms. Ecommerce Insurance Requirements by Platform Amazon, Walmart, and Shopify are the Big Three when it comes to seller platforms. While Amazon has dominated the online retail space, Walmart and Shopify are both investing heavily in giving Amazon a run for its money. Behind the Big Three e-retailers, Wayfair, Target, Newegg, Etsy, and others are providing opportunities for sellers to profit through the sales of wholesale, retail, and handcrafted products. Here are the 2022 insurance requirements for each. Amazon Amazon [https://www.amazon.com/] Pro merchants and sellers with gross sales exceeding $10,000 in any month are required to carry commercial general liability insurance and product liability insurance as outlined in the Amazon Services Business Solutions Agreement. [https://sellercentral.amazon.com/gp/help/help.html?itemID=1791&language=en_US&ref=efph_1791_cont_G521#FBA] Amazon has an insurance deductible requirement. Your insurance deductible [https://www.iii.org/article/understanding-your-insurance-deductibles] is the amount of money you are responsible for in the event of an insured loss. If you want to sell on Amazon, your GLI policy must have a deductible of less than $10,000. * Min: $1 million per-occurrence limit * Min: $1 million aggregate limit * Deductible must not exceed $10,000 * Certificate of insurance (COI) required * Amazon and its assignees must be listed as an additional insured [https://www.irmi.com/term/insurance-definitions/additional-insured] Walmart Walmart [https://corporate.walmart.com/media-library/document/insurance-requirements-february-2018/_proxyDocument?id=00000161-573d-dcfd-a37b-ffff3e9f0000] requires all suppliers and sellers providing goods for resale on its platform to carry general liability and product liability insurance. In addition, you may be required to provide proof of workers' compensation insurance if you have employees that will be entering Walmart premises, commercial auto insurance if you or your employees will be making deliveries to Walmart premises, and/ or umbrella coverage to help you reach the following policy coverage limits: * $1 million per-occurrence limit * $2 million aggregate limit * Certificate of insurance required * Walmart Inc. and its subsidiaries and assignees must be listed as additional insured Shopify Shopify [https://www.shopify.com/]does not currently have insurance requirements for sellers, meaning you can set up your store and begin selling without providing proof of insurance. However, that doesn’t mean your business is protected against lawsuits or claims resulting from your product sales! Talk to your insurance provider about the best general liability and product liability coverage and policy limits for your Shopify store, so you’re not left vulnerable to an unhappy, litigious customer. * no per-occurrence limit requirement * no aggregate limit requirement * no certificate of insurance required Wayfair Wayfair [https://www.wayfair.com/] has separate insurance requirements for designers v.s. dropship suppliers for its home furnishings and decor platform. If you are a Wayfair designer, the platform requires that you maintain any legally required insurance policies, like workers’ compensation if you have employees. For sellers, the platform requires a general liability policy or a combination of general liability and umbrella coverage as needed to cover the per-occurrence and aggregate limit requirements. * $1 million per-occurrence limit * $2 million aggregate limit * Certificate of insurance (COI) required * Wayfair LLC must be added as an additional insured. Target Target [https://corporate.target.com/about/products-services/suppliers]is another e-retail platform that allows sellers to use the brand’s existing scale and influence to reach more customers online. Like other sellers such as Wayfair and Walmart, Target will expect you to meet any legal insurance requirements in your state, which may include workers’ compensation insurance if you have employees and commercial auto insurance to cover delivery trucks. Target sellers [https://corporate.target.com/about/products-services/suppliers] are required to carry general liability insurance, including product liability coverage. Target’s contract specifies vendors  “must provide insurance for the life of Goods covering claims occurring or brought by third parties, including after Purchaser discontinues sale of Goods.” Target is one of the few retailers that may require vendors to provide Network Security and Privacy Liability, which is part of a cyber liability policy that can protect against data breaches and damages due to lost or stolen breaches. Target has the highest policy limit requirements from its vendors, including: * General liability: $5 million per occurrence * Workers’ compensation: $1 million * Commercial auto: $1 million * Network security and privacy liability: $1 million * Target Corporation and its subsidiaries must be listed as additional insured * Certificate of insurance required Newegg Newegg [https://www.newegg.com/] is an e-tailer focusing on consumer electronics, smart home and gaming products, and more. Newegg has two sites for sellers: the original tech-focused site and its smaller, niche site, Neweggbusiness, serving business buyers. Newegg’s contract [https://c1.neweggimages.com/mps/selleragreement/929e2e9a-21a1-4114-bf25-495a29df853a.pdf] states that sellers must maintain general liability, product liability coverage, and errors & omissions (E&O) insurance with at least an A.M. Best Rating of A-, VII or higher. Newegg also requires product liability and product recall insurance for sellers that manufacture their own products. * $1 million per-occurrence limit * $2 million aggregate limit * Certificate of insurance required * Newegg must be listed as additional insured Esty Etsy made a name for itself as THE platform for selling handmade goods and crafts and has expanded to include wholesale, digital products, and much more. Etsy does not require sellers to carry insurance to utilize the platform at this time. However, as we’ve mentioned before, carrying general liability insurance for your selling business can protect you in the event a customer is injured or alleges an injury resulting from your product. Even if you win a frivolous lawsuit, the cost of fighting in court can add up fast. If you’ve been selling on Etsy or any platform before, you know that sometimes customers can quickly turn from sweet to sour. When you have general liability insurance in place, you can protect yourself from the high costs of defending yourself against an unhappy customer in court. * no per-occurrence limit requirement * no aggregate limit requirement * no certificate of insurance required Get a Quote for General Liability Insurance and Start Selling Are you ready to start selling on one of these popular ecommerce platforms? Most e-retailers require vendors and sellers to carry — at the minimum — general liability and product liability coverage. Even if a platform doesn’t have an insurance requirement, a GLI policy can be an effective way of making sure you get to keep your selling profits. Coverdash helps sellers and e-retailers meet insurance requirements to sell on the major ecommerce platforms. Our insurance brokerage can help you find the perfect policies to protect your small business, including general liability, business owner's policy, professional liability, worker’s compensation, and cyber insurance. Our team of ecommerce insurance professionals will shop the leading commercial insurance carriers to find you the best coverage at the most affordable rates. Our ecommerce insurance service doesn’t stop at finding you the right coverage, either. At Coverdash, we’ll help you get your certificate of insurance (COI) delivered to your ecommerce platform so you can stay compliant with platform requirements. Don’t let ecommerce insurance requirements keep you from making sales online. Request a quote from Coverdash so you can start selling without delay.