Your Roadmap to Coverage: Amazon DSP Insurance Requirements FAQ

Amazon’s Delivery Service Partners (DSP) program represents a fantastic opportunity for logistics and delivery professionals to partner with Amazon. However, whether you are already a DSP owner or just starting to explore this option, it’s essential to understand the insurance requirements and options available to ensure your business is fully protected.

This FAQ will guide you through the most common questions regarding Amazon DSP insurance, including what coverage is required, how to obtain it, and what factors can impact your insurance costs. By understanding these key points, you can make informed decisions about your business and ensure you meet all requirements for a successful partnership with Amazon.

FAQ on Amazon DSP Insurance

1. What is Amazon DSP insurance?

Amazon requires all Amazon DSPs to maintain required insurance coverage to protect against liability and potential accidents on the job. It may include commercial auto insurance, general liability insurance, workers’ compensation insurance, and, in certain instances, health insurance benefits.

2. What does Amazon DSP insurance cover?

Amazon DSP insurance covers a wide range of potential risks and liabilities that may arise while operating as a Delivery Service Partner. Coverage includes protection for bodily injury, property damage, and other third-party liabilities that may occur during your business operations.

In addition, Amazon requires all DSPs to have workers’ compensation insurance in place to cover any injuries or illnesses sustained by employees while performing their duties as part of the DSP program.

3. Who is eligible for Amazon DSP coverage?

Typically, drivers who are part of the DSP program, whether as owner-operators or employees of a DSP company, are eligible for Amazon’s insurance coverage requirements. 

However, eligibility requirements may vary based on location and other factors. It’s important to review Amazon’s specific requirements for your region before applying for coverage.

4. What are the minimum insurance requirements for DSP drivers?

Amazon requires all DSP drivers to maintain minimum insurance levels of no less than:

• $15,000 per person for a bodily injury liability case
• $5,000 for property damage liability per accident
• $30,000 for bodily injury liability per accident 

5. How is the cost of insurance determined?

The cost of insurance for DSP drivers can vary depending on several factors, including location, driving history, and vehicle type. Any previous claims or accidents may also impact the cost of insurance.

To help reduce costs, some DSPs may implement safety measures such as driver training programs and vehicle maintenance standards to demonstrate their commitment to accident prevention.

6. Does Amazon provide commercial auto coverage?

No, Amazon requires that all DSPs obtain their own commercial auto insurance coverage to meet the minimum requirements. Each DSP is responsible for obtaining and maintaining coverage that meets the minimum requirements set by Amazon.

7. Who is liable in case of an accident?

Because drivers are considered independent contractors or employees of the DSP, they are responsible for any accidents or incidents that occur while performing their duties as part of the DSP program. Amazon does not claim any liability for accidents caused by DSP drivers.

8. What is last-mile insurance?

Last-mile insurance refers to the coverage provided to DSP drivers in the final stages of delivery, typically from a local Amazon fulfillment center to the customer’s doorstep. This insurance is essential, as it covers any accidents or incidents during this crucial period.

Insurance Tips for Amazon DSP Drivers

To give you a comprehensive understanding of Amazon DSP insurance, here are some important tips to keep in mind:

• When considering coverage options, assess your driving needs and potential risk before purchasing a policy to ensure you have the right level of protection.
• Understand the specific Amazon DSP coverage requirements for your area, and ensure you meet minimum coverage levels to maintain eligibility as a DSP driver.
• Regularly review your Amazon DSP policy and coverage needs, especially if there are any changes in your business operations or vehicle usage.
• Proactively renew your Amazon DSP insurance policy to ensure continuous coverage and avoid any potential gaps. This step is especially important for DSPs who operate year-round.
• Familiarize yourself with insurance terminology, and understand your coverage types and any limitations or exclusions.

Partner With Infinite for Comprehensive DSP Insurance Coverage

As an Amazon DSP driver, you need the right insurance coverage to protect your business and assets. At Infinite, we specialize in transportation insurance solutions for logistics and delivery professionals, including those involved with the Amazon DSP program.

Our team of experts can help you navigate the insurance requirements and find the best coverage options for your specific needs. Contact us today to learn more about our services and how we can help you stay protected while working with Amazon.

About Infinite

At Infinite Risk Management & Insurance Solutions, we’re dedicated to simplifying business insurance. Our expert team ensures the best rates, continual support, and a knowledgeable approach, navigating policy complexities effortlessly. From informative articles to a responsive in-house claims team, we’ve got you covered. Let us handle the intricacies while you focus on growing your business.