Amazon Claim Changes Starting October 23 – What You Need to Know
Big Update for Amazon Sellers
Starting October 23, Amazon is reducing the timeframe for filing certain reimbursement claims from 18 months to just 60 days.
This significant change adds a layer of urgency to your operations, making it crucial to have all documentation in order, such as the Proof of Delivery (POD) from your freight forwarders.
Key Changes
Current Status
Previously, sellers had a generous 18 months to audit and file reimbursement claims for lost, damaged, and customer-returned items. This allowed ample time to discover discrepancies, gather necessary documentation, and submit claims without the pressure of a looming deadline.
New Status
Starting October 23, this timeframe will be drastically reduced to just 60 days. This new status means that sellers will have only two months to identify issues, complete audits, and file claims.
What This Means
Amazon’s enhanced auto-reimbursement process will now proactively cover some claim types, potentially easing some of the burdens on sellers. However, the reduced filing window means that manual audits and timely submissions are more critical than ever.
Sellers must now adopt a proactive approach to managing their inventory and tracking shipments. This includes regular audits and immediate action when discrepancies are discovered. The need for efficiency and accuracy in documentation has never been higher.
Why POD Matters
Proof of Delivery (POD) is a critical component in the claims process. Freight forwarders must provide accurate and timely POD to ensure you can file claims within the tighter 60-day window. Without POD, reclaiming your lost or damaged inventory becomes a significant challenge.
Importance of Accurate POD
An accurate POD serves as evidence that your shipment was delivered as expected. It includes essential details such as the appointment ID, appointment reference code, arrival/check-in/closed time, customer order number (Amazon REF/Amazon ID), number of packages, and a stamped POD. These details are crucial because Amazon has been known to refuse claims due to missing stamps, even when the shipment was received.
Ensuring Compliance
To ensure compliance with Amazon’s new policy, it’s essential to work closely with your freight forwarders. Ensure they understand the importance of providing complete and accurate PODs promptly. Regular communication and clear expectations can help avoid delays and errors in documentation.
Essential POD Elements
To meet Amazon’s requirements, your POD must be clear and include the following elements:
- Appointment ID: This unique identifier is assigned when scheduling a delivery appointment.
- Appointment Reference Code: This code is used to reference the specific delivery appointment.
- Arrival/Check-in/Closed Time: These timestamps indicate when the shipment arrived, was checked in, and the transaction was completed.
- Customer Order No (Amazon REF/Amazon ID): This is the order number provided by Amazon, essential for tracking and verification.
- Number of Packages (Boxes/Pallets): Accurate count of the packages delivered.
- Stamped POD: The POD must be stamped to verify its authenticity.
Having these elements in order ensures that your claims are processed smoothly and without unnecessary delays.
The Impact on Sellers
With the new 60-day filing window, sellers must be more diligent with their audits and claims. The reduced timeframe means there is little room for error, and delays in documentation can lead to missed opportunities for reimbursement.
Increased Workload
The increased workload from the reduced filing window requires efficient processes and tools. Investing in software that helps track shipments and manage documentation can save time and reduce errors. Additionally, training your team to handle these tasks effectively will be crucial.
Partnering with Reliable Freight Forwarders
Partnering with reliable freight forwarders for accurate POD can help manage these tighter deadlines effectively. Freight forwarders play a crucial role in ensuring that PODs are accurate and delivered on time. Choosing partners with a proven track record can help mitigate risks and ensure compliance with Amazon’s new policy.
Conclusion
The new changes to Amazon’s reimbursement claim policy, effective October 23, 2023, will significantly impact how sellers manage their operations. With the reduction of the filing window from 18 months to 60 days, the importance of accurate and timely documentation, particularly Proof of Delivery (POD), cannot be overstated.
Key Takeaways
- Ensure your PODs are accurate, complete, and promptly provided.
- Regularly audit your inventory and shipments to identify discrepancies early.
- Work closely with reliable freight forwarders to ensure compliance.
- Invest in tools and training to manage the increased workload effectively.
Ready to adapt to the new changes?
Contact Proboxx today HERE to see how we can help you streamline your operations and stay compliant with Amazon’s new policy.