Amazon will now offer up to $1,000 to customers who have been injured by products purchased from third-party sellers on its website.
The company announced Tuesday that beginning September 2021, the site will handle injury or property damage directly without charging the seller. The company may also distribute payouts over $1,000 in the event a seller doesn’t respond to an affected buyer or refuses to pay for claims that Amazon determines to be valid.
“Amazon will resolve and pay for valid property damage and personal injury claims against sellers under $1,000 as a concession to customers,” the company announced in a press release. “Claims under $1,000 account for more than 80% of cases in our store, and Amazon will bear these costs and not seek reimbursement from sellers who abide by our policies and hold valid insurance. Sellers will be kept informed at every step so they can continue to ensure their products are safe.”
AMAZON ACCUSED OF COMPROMISING UNION EFFORTS, WORKERS EXPLORE NEW VOTE
Until now, Amazon has forced customers to contact and work with vendors directly in order to resolve issues with third-party products. The new policy is intended to accelerate claim resolutions and settle low-cost conflicts between customers and vendors efficiently.
“By standing behind customers and the products in our store, regardless of who sells them, Amazon is going far beyond our legal obligations and what any other marketplace service provider is doing today to protect customers,” the company added.
Amazon also announced new insurance options for vendors on the site.
“We worked with an insurance broker to create Amazon Insurance Accelerator, a network of vetted insurance providers who will evaluate and, if appropriate, offer liability insurance at competitive rates to qualifying sellers,” Amazon said.
Vendors will not be required to purchase their insurance through the new program and can continue to purchase liability insurance through private, unaffiliated providers.
We’re taking action with @GoPro against individuals counterfeiting popular camera accessories in our store.
If a counterfeiter attempts to take advantage of our customers or partners, we will hold them accountable. https://t.co/XusxWDDSn0
— Amazon News (@amazonnews) August 9, 2021
The retailer has attracted scrutiny for some of its business practices in recent months. After members from the International Brotherhood of Teamsters voted in favor of supporting efforts by some Amazon workers to unionize, the company was accused of suppressing pro-union sentiment and illegally threatening employees.
The unionization push followed March reports that workers are forced to urinate into water bottles, charges that the company vehemently denied.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
“You don’t really believe the peeing in bottles thing, do you?” Amazon News wrote in response to a tweet from Rep. Mark Pocan that shared the accusation. “If that were true, nobody would work for us. The truth is that we have over a million incredible employees around the world who are proud of what they do, and have great wages and health care from day one.”
Amazon then apologized to Pocan days later.
