Amazon Forcing U-PIC Insurance Coverage On 3rd Party Sellers – Only A Glitch?

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Amazon has unleashed a handful of “upgrades” and “improvements” over the past few days. Most were announced without prior notice. Today, June 16, 3rd party sellers noticed a change when buying shipping on the e-commerce giant’s platform. Before they’re able to purchase shipping, they’re required to click a box confirming “I certify that the contents of the package are covered under U-PIC’s Coverage Terms”.

Even if the item is a cellphone and not covered under U-PIC’s terms, they still have to check the box before the Buy Shipping button is activated. Unfortunately, a variety of items are not covered by U-PIC including bullion, cell phones, computer chips, gift certificates, laptops, currency, fine art, personal goods, and televisions.

$1.00 worth of insurance increases the total shipping fees by $0.30. $100 declared value ultimately increases the delivery charges by $0.45. So, it isn’t a massive increase. However, many packages are already covered for free by USPS and other carriers. Furthermore, U-PIC has developed quite the reputation for itself with the Better Business Bureau.

Some sellers claim that U-PIC is an “extreme hassle” for the Amazon buyer since it requires a Buyer/Recipient Affidavit form to be filled out and submitted by the buyer. The seller must download the form from U-PIC’s website and send it to the buyer in PDF form.

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U-PIC suspects that every buyer has access to a printer and scanner and that may not always be the case. They also mistakenly believe it is easy for Amazon sellers to contact Amazon buyers. In reality, this is nearly impossible. Any Amazon seller will agree that trying to contact a buyer is a hopeless endeavor.

In addition, many argue that it takes significantly longer to process a claim. One Amazon seller claimed on Seller Central Forums that they had contacted Amazon and a representative told them it was only a glitch.

amazon forum complaints
Seller complaint on Seller Central Forums

Nevertheless, sellers cannot wait for Amazon to fix a so-called glitch. They’re under strict deadlines to ship the items as swiftly as possible and buying shipping elsewhere will void many of Amazon’s seller protections. So, it is best to check the box, hit the Buy Shipping button, and pray everything goes smoothly. As of now, Amazon 3rd party sellers are eagerly awaiting for answers from an Amazon representative.

Remember that you can freely vent about Amazon and other online marketplaces in the NayZayerz forums.

amazon forum complainers
Amazon Seller Forums

The “glitch” has now been dealt with. Amazon sellers are no longer being required to accept U-Pic’s insurance.

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