e-Commerce Insurance

Merit Insurance Brokers offers e-Commerce products tailored for online business owners and marketplace sellers on platforms like Amazon, Wayfair, Walmart, Etsy, Shopify, eBay and more!

Depending on your gross sales and e-Commerce business, these platforms may require you to carry commercial general liability insurance. Even if that’s not the case for your business, it’s still a smart move to have insurance to protect your hard work.

What is the Merit Difference?

Tailored To Your Business

We offer exclusive policies customized to fit your business needs and goals as a business owner.

Create Your Policy In Just A Few Taps

Our smart technology and team of experts do the work to get you insurance policy options to choose from.

Only Pay For What You Need

Our quotes let you save up to 35% on your premiums and trim down your policy to only the coverage details that will benefit your business.

What Insurance Do I Need For an eCommerce Business?

Liability Insurance for e-Commerce – While any business should carry commercial general liability (“CGL”) as the foundation of their policy, e-Commerce general liability insurance is especially important as marketplaces and landlords are requiring all businesses to carry insurance regardless of where they work. If your business sells a product, product liability insurance for e-Commerce will help protect your business in case someone is accidentally injured through its use.

Cyber Insurance – As an online business, your website and online presence is the lifeblood of your business. You routinely deal with customer’s private data, including their addresses and credit card numbers. Cyber insurance is a must for any business that relies on the internet to do business. It protects your business against online attacks, data breaches and cyber extortion that can prevent your business from operating. The right policy can protect you from a variety of cyber threats that are beyond your control, including the vendors you rely on.

Errors & Omissions – In the e-Commerce world you need to make assertions to your clients that your product or service does what it says it will. If the product you manufactured is defective, or your service does not deliver as promised, errors and omissions insurance (E&O) ensures your business won’t be left personally on the hook.

e-Commerce Shipping Insurance – Many e-Commerce businesses do not store goods themselves, but rely on third-party warehouses and shippers for order fulfillment. Cargo insurance should be considered for e-Commerce businesses as it protects these shipments from damage and theft, while ensuring that your business is able to continue to fulfill customer needs.

e-Commerce Insurance | Merit Insurance Brokers Inc.

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We have partnered with a market leader, Foxquilt Commercial Insurance, to protect businesses like yours. Our clients can benefit from Foxquilt’s quote and bind platform to easily access affordable eCommerce, Contractor and Personal Services products.

FREQUENTLY ASKED QUESTIONS

What types of insurance do I need to know about for my business?

As a business owner in Ontario, you should consider obtaining insurance coverage for general liability, property damage, business interruption, and professional liability (if applicable). Depending on your industry and specific risks, you may also need to consider additional policies such as product liability, cyber liability, and directors and officers (D&O) liability insurance. It’s important to consult with an experienced insurance agent or broker to determine the appropriate coverage for your business needs.

What is co-insurance?

The co-insurance clause is a common and often misunderstood part of property insurance policies.

Co-Insurance is an agreement between YOU and the Insurance Company, whereby you agree to maintain coverage up to a stated percentage of the value of the property you wish to insure (usually 80%, 90% or 100%).

In the event of a loss, the amount of payout from the insurance company is calculated on a formula.

How to calculate co-insurance?

The simple formula for calculating the coinsurance penalty is: amount of insurance in place / Amount of insurance that should have been in place x the loss, less any deductible is the amount actually paid.

What is a certificate of insurance?

A certificate of insurance is a document that verifies the existence of an insurance policy. In Ontario, it is typically issued by an insurance company and provided to a third party as proof of insurance coverage. The certificate will include information about the insurance policy, such as the type of coverage, policy limits, and the effective dates of coverage.

What is Cyber Insurance?

Cyber insurance is a type of insurance coverage that provides protection against losses related to cyberattacks and data breaches. This insurance policy can cover costs related to notifying affected individuals, legal expenses, and costs associated with investigating and repairing damages caused by cyber incidents. Cyber insurance can also provide resources to help businesses prevent future attacks and mitigate risks. It is an important consideration for any business that handles sensitive customer or employee data or relies on technology for daily operations.

What is Identity Theft Coverage?

Identity theft coverage is a type of insurance policy that can help protect individuals from the financial and legal consequences of identity theft. It typically provides assistance with the costs associated with restoring credit and resolving fraudulent accounts, as well as reimbursement for stolen funds or expenses incurred during the recovery process.

What is a deductible?

This is the part that you pay in the event of a claim. The insurance company covers the rest, up to the $ amount of loss, or your policy’s limits whichever is less. The higher the deductible, the lower your insurance premium and vice versa.

If I cancel my policy, I won’t owe the last month’s insurance right?

If the policy is canceled by you, the calculation of the cancellation is Short Rate. The Short Rate Penalty is based on the days the policy has been in force. Depending on your payment schedule and withdrawal date, there may be an outstanding premium, which is collected after cancellation is processed. If you need to cancel it is always best to cancel the policy on the anniversary date to avoid cancellation fees.

When it comes to business insurance, what is the difference between commercial general liability and professional liability coverage?

The main difference between professional liability and commercial general liability (CGL) insurance is the type of risks that they cover. CGL covers the cost of legal and medical expenses associated with claims declaring third-party property damage or bodily injury because of your business routine.

Professional liability insurance (often referred to as errors and omissions), provides coverage for claims resulting from negligence or failure to deliver a professional service as promised, which could have led to a financial loss on your client’s behalf.