Amazon Introducing an Automated Reimbursement Claims Process

Selling on Amazon through their Fulfilled by Amazon (FBA) program can sometimes lead to inventory getting lost in the shuffle. When this happens, sellers have historically had to keep a close eye on their inventory or rely on third-party software to track down and request reimbursement of missing units.

However, come November, Amazon is shaking things up, as they will be rolling out an automatic reimbursement system for lost FBA items! This updated approach promises to streamline the process, helping spare sellers the hassle of manually opening reimbursement cases.

What are Inventory Reimbursement Claims on Amazon?

Amazon’s policy states that if an item is lost or damaged at their facility, the company is obligated to either replace the item or provide the seller with a full reimbursement for its cost. This ensures that sellers are compensated for any unforeseen mishaps that occur during the handling and storage of their goods at Amazon's FBA facilities. Here are the eligibility requirements:

• The item is registered in FBA at the time it is lost or damaged.

• The item complies with FBA product restrictions and with FBA inventory requirements.

• You have sent us the exact items and quantities stated in your shipping plan.

• The shipment for the item is not in canceled or deleted status.

• The item is not pending disposal or was not disposed of at your request or because we have exercised a right to do so.

• The item is not defective and was not damaged by a customer.

• When a lost or damaged item claim is filed, under review, and during any appeals, the seller’s account must be in normal status.

How are Amazon Reimbursement Claims Changing?

Previously, Amazon sellers had to keep track of lost FBA inventory on their own or utilize a third-party service to help monitor reimbursement requests. Beginning on November 1, 2024, Amazon will begin to proactively reimburse sellers for lost FBA units.  

It’s also important to note that Beginning October 23, 2024, the reimbursement claim window will change from 18 months to only 60 days. This means if you believe items were lost or damaged by Amazon, and they did not auto-reimburse you, you need to be sure your manual claim is filed within 60 days. Amazon Sellers should also use the reimbursements report to track and monitor their lost unit reimbursements.

If you're a client looking for more information, contact your account team! If you’re interested in learning more about how Blue Wheel can aid in your brand efforts in online marketplaces, schedule a consultation with our team, we would love to hear from you.