Amazon is expanding its commercial liability insurance rules on November 2, 2026, bringing some safety-sensitive products under the requirement regardless of sales volume and changing how Mainland China-based sellers can submit new policies.
Amazon has announced two additions to its US commercial liability insurance policy that will take effect on November 2. The changes widen the group of sellers that may need coverage and introduce a separate submission route for sellers based in Mainland China.
The existing rule remains in place: a seller must obtain and maintain commercial liability insurance within 30 days after gross proceeds from Amazon.com sales exceed $10,000 in any month. Amazon says the policy must provide at least $1 million in coverage per occurrence and in aggregate.
What changes in November is that sales volume will no longer be the only trigger. Sellers with products in categories subject to enhanced safety listing requirements may need insurance even if their monthly Amazon.com sales remain below $10,000.
What Amazon Is Changing
Amazon’s announcement introduces two distinct requirements.
1. Safety-sensitive categories can trigger insurance at any revenue level
Sellers with products covered by Amazon’s enhanced safety listing requirements will need a commercial liability policy that covers those products. The requirement applies to both new and existing listings, and Amazon says it applies regardless of whether the seller has reached the usual $10,000 monthly gross-proceeds threshold.
Amazon’s announcement names children’s products, cosmetics and ingestible products, and lithium battery products as examples. It also makes clear that this is not the complete category list. Sellers should check the impacted-ASIN notice in their own Seller Central account rather than assuming a broad category label tells the whole story.
2. Mainland China sellers must use Amazon Insurance Accelerator
Sellers based in Mainland China will be required to obtain new insurance through the Amazon Insurance Accelerator, or AIA. Amazon describes AIA as a network of pre-vetted insurers familiar with its coverage requirements.
Starting November 2, Amazon says newly submitted policies from Mainland China sellers will be rejected if they were not obtained through AIA. A valid third-party policy submitted before the deadline can remain in use until it expires. When that policy expires, the seller must move to an AIA policy.
Who Is Most Likely to Be Affected?
| Seller situation | What the update means | Immediate check |
|---|---|---|
| Monthly Amazon.com gross proceeds above $10,000 | The existing insurance trigger still applies | Confirm current coverage, dates, limits, and accepted proof |
| Below $10,000 but selling an enhanced-safety product | Insurance may now be required regardless of revenue | Review affected ASIN notices and the official category list |
| Mainland China seller submitting a policy after November 2 | The new policy must be obtained through AIA | Start the AIA application before the deadline |
| Mainland China seller with a valid policy submitted before November 2 | The policy can continue until expiration | Record the expiry date and plan the AIA transition early |
| Seller who believes an ASIN was misclassified | Amazon may still flag the listing until evidence is reviewed | Prepare product images, category information, and supporting documentation |
The practical impact is likely to be largest for smaller sellers in regulated or safety-sensitive categories. A business that never crossed the monthly revenue threshold could now face an insurance cost and documentation workflow simply because of what it sells.
Resellers also need to pay attention. Selling a product from a large manufacturer does not automatically prove that the seller’s own insurance obligations are satisfied. Coverage terms, named insured parties, product scope, territory, and proof accepted by Amazon all need to match the seller’s situation.
What Sellers Should Do Before November 2
- Check Account Info and performance notifications. Look for a Business Insurance notice and identify the ASINs Amazon says are affected.
- Confirm the policy covers the actual products sold. A general certificate is not useful if exclusions remove the relevant category, territory, or product risk.
- Verify the coverage limits. Amazon’s announcement specifies at least $1 million per occurrence and in aggregate.
- Check the legal entity and address. The seller account, policyholder, and supporting documents should be consistent.
- Review the submission route. Mainland China sellers obtaining a new policy after the deadline must use AIA.
- Upload proof early. A rejected certificate close to the deadline leaves little time to correct insurer wording or documentation.
- Document a misclassification challenge. Amazon’s seller communications advise contacting Selling Partner Support with evidence such as product images and the correct category when a product was flagged incorrectly.
Why This Matters Beyond Compliance
The update moves product risk closer to the listing stage. For affected categories, insurance is no longer only a milestone that arrives after a seller reaches a sales threshold. It becomes part of the cost and readiness check before a product can remain active.
That changes product-launch economics. Sellers evaluating a children’s item, supplement, cosmetic, or battery-powered product should include insurance availability and cost alongside testing, certifications, packaging, freight, FBA fees, returns, and advertising. A product can have attractive unit margins and still be a poor launch if compliant coverage is unavailable or disproportionately expensive.
It also raises the value of clean catalog classification. If an ASIN is placed in an enhanced-safety category incorrectly, the seller may have to resolve both the product classification and the insurance notification. Waiting until listings are at risk of deactivation is the expensive version of that process.
What to Watch Next
The most important near-term question is how consistently Amazon identifies affected listings and reviews submitted certificates after the rule takes effect. Sellers should monitor Account Health, performance notifications, and the Business Insurance page during the first weeks of November.
EcomToolszone will also watch for clarification on the full enhanced-safety category list, handling of misclassified ASINs, AIA availability for Mainland China sellers, and whether Amazon adjusts the submission process in response to seller questions.