Assureful

Seller insurance requirements

Do you need insurance to sell on Shopify?

Not mandated by platform

No. Shopify is a store platform, not a marketplace, so it does not require insurance to open or run a store. But that also means there is no marketplace standing between you and your customer, so 100% of product liability sits with your business. Coverage becomes essential the moment wholesale buyers, retailers, or a marketplace like Amazon ask for proof.

42%

average savings

$26

starting monthly

Same day

marketplace-ready COI

The requirement

Shopify at a glance.

What Shopify does and does not require, and what your buyers may ask for even when the platform is silent. Confirm against the current seller agreement before you rely on it.

Insurance required?

Not mandated by platform

When it applies

Not set by Shopify. Driven entirely by your product risk and by the buyers and channels you add.

Minimum limits

None set by Shopify; $1,000,000 per occurrence is a common baseline for DTC brands.

Additional insured

None required by Shopify; add wholesale buyers or retail partners when they ask.

Carrier rating

Your choice; pick a reputable insurer.

Deductible cap

Not applicable.

COI deadline

Only when a buyer, retailer, or marketplace requests one.

Named insured

Your legal business or brand entity.

When you actually need it

What triggers a coverage request.

The policy pieces that matter for Shopify sellers are product liability, general liability. These are the moments that create the need in practice.

01

A wholesale buyer or retailer asks for a Certificate of Insurance naming them additional insured

02

You expand from Shopify onto Amazon, Walmart, or TikTok Shop

03

You sell supplements, skincare, cosmetics, food, or other higher-risk goods

04

Your monthly sales grow beyond what an annual-forecast policy prices well

The exposure

What happens if you skip it.

On Shopify there is no marketplace to share the risk. If a product you sold injures a customer or damages property, the claim is entirely yours, and without coverage the legal costs and any settlement come straight from the business.

By the numbers

Why the coverage is worth it.

Shopify keeps growing, and so does product-liability exposure. A single defective-product claim can cost more than years of premium. These are the numbers behind the requirement.

$10K–$500K

typical pre-trial product-liability settlement range, with jury verdicts running into the millions

Insurance Information Institute — product liability facts

~67%

of product-liability cases end in a settlement paid to the plaintiff

Insurance Information Institute — product liability facts

48%

of U.S. commercial tort costs are carried by small businesses — about $160 billion a year

U.S. Institute for Legal Reform

How Assureful helps

A Shopify-ready policy, priced on real sales.

Assureful connects to your store, prices product liability from your real monthly sales, and issues a marketplace-ready Certificate of Insurance with the required additional-insured wording, usually the same day.

Start a free quote

Free quote

See your Shopify price in minutes.

No calculator gymnastics. Enter your email, connect your store, and get product liability insurance priced on your real sales, with a marketplace-ready Certificate of Insurance the moment Shopify or a buyer asks for one.

  • Starts at $26/mo, about 42% less than comparable A-rated insurers
  • Same-day COI with the right additional-insured wording
  • No long forms and no annual-forecast guesswork

From $26/mo

Pay-as-you-sell insurance

  • A-rated underwriters
  • 42% less than comparable A-rated insurers (avg)
  • Quote in 2 minutes
  • No annual forecasts
  • Cancel anytime

No obligation. Cancel anytime.

Questions

Shopify seller insurance FAQ.

Do I need insurance to sell on Shopify?+

Shopify does not require it, but because Shopify is your own store rather than a marketplace, 100% of product liability sits with you. Product liability insurance is strongly recommended for any physical-goods brand, and becomes essential once wholesale buyers or marketplaces ask for a Certificate of Insurance.

Does Shopify offer product liability coverage?+

No. Shopify provides the store software, not insurance for what you sell. Any injury or property-damage claim from your products is your business's responsibility, so you need your own policy.

When does a Shopify seller usually need a COI?+

Most commonly when a wholesale buyer or retailer asks to be named as additional insured before stocking your products, or when you expand onto Amazon, Walmart, or TikTok Shop, which have their own insurance requirements.

Sources

Where these requirements come from.

Requirements as documented as of 2026-07. Marketplace terms change, so confirm against Shopify's current seller agreement before you rely on this page.

  1. 01

    Shopify Terms of Service (merchant responsibility)
  2. 02

    Assureful: Shopify Insurance

Start now

Get Shopify-ready coverage in 2026.

Connect your store, answer a few questions, and get a marketplace-ready Certificate of Insurance with the additional-insured wording buyers ask for.

Start a free quote