Question around shipping items in for FBA

I understand that once at an Amazon facility they handle shipping / returns and if a packaged is damaged or lost its pretty much on them.

However when your shipping a package in, if it gets damaged or lost what happens ?

I know shipping through their carrier UPS, I did not have an option to add insurance or anything so are you SOL if it goes missing after pick up ?

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That depends.

If an item you send to the Fulfillment by Amazon (FBA) service is lost or damaged Amazon will replace that item with a new item of the same FNSKU or they will reimburse you for it.

However, your item needs to be eligible under the FBA inventory reimbursement policy.

However when your shipping a package in, if it gets damaged or lost what happens ?

Same policy.

If an item you send to the Fulfillment by Amazon (FBA) service is lost or damaged by a carrier operated by Amazon or on behalf of Amazon, they will replace that item with a new item of the same FNSKU or they will reimburse you for it.

This works in theory, but seldom works in reality. Amazon will blame the carrier, the carrier will tell you it’s Amazon’s problem, and you will be blamed for poor packaging. Here’s the Shipment to Amazon claims process.

shipping through their carrier UPS, I did not have an option to add insurance or anything

The maximum reimbursement for a single unit is $5.000. Amazon recommends that we you consider buying third-party insurance for units that are more than $5,000.

so are you SOL if it goes missing after pick up ?

That’s also going to depend.

Let’s put it tis way, Amazon will go to extreme lengths to avoid reimbursements.

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Thank you @FunkyMonkey . I think I also found my own answer I’ll post it here so if anyone else has the same question. Nice write up from Jungle Scout:

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Yes, if you don’t add insurance to your shipment, you are basically SOL if it goes missing after pickup. Amazon is not responsible for lost or damaged packages that are not insured.

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You’re welcome.

Interesting read. Thank you for sharing the Jungle Scout write-up.

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If you send them proof it was picked up they investigate and reimburse you

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