Delivery Service Partner Insurance ProgramFrequently Asked Questions

GeneralWhy should I participate in the DSP Insurance Program?As a Delivery Service Partner, you are required to carry specific insurance coverages and limits. Amazon has worked with Aon to create an exclusive Program designed to meet Amazon’s insurance requirements.

Who is Aon?Aon is a leading global provider of innovative insurance solutions to individuals and businesses, providing highly competitive insurance programs to over 50 million clients. Aon’s vast industry resources enable them to create customized insurance programs designed specifically around the needs of their clients.

Who is the insurance carrier?Old Republic Insurance Company is one of America’s strongest insurance companies. They are rated A+ (Superior) by the insurance industry rating agency, A.M. Best Co. This places them among the top 11% of the most financially stable insurance companies in the U.S.*

Who takes care of claims?Sedgwick Claims Management Inc. is responsible for handling your claims. Sedgwick is a leading global claims management provider with 21,000 employees located in 65 countries. They pride themselves in delivering compassionate, responsive, effective service that simplifies the process for everyone involved.

Who handles premium financing?Aon has partnered with the premium finance company AFCO. Founded in 1954 in Pittsburgh, PA, AFCO is among the first and the largest insurance premium finance companies in the U.S. They provide financing services to hundreds of insurance companies and have a reputation for reliability, expertise and flexibility.

CoverageWhat coverage limits are provided?

Coverage Limit

Commercial AutoLiability $1,000,000

Comprehensive $1,000, $2,000, $3,000, $5,000 deductibles available

Collision $1,000, $2,000, $3,000, $5,000 deductibles available

Hired and Non-Owned Auto Liability $1,000,000

Uninsured/Underinsured Motorist $1,000,000

Cargo Liability $25,000

Medical Payments $5,000

Personal Injury Protection Statutory

Hired Physical Damage ACV or Cost of Repair or $50,000 (whichever is less)

Rental Reimbursement $50 per day/30-day maximum

Towing $200 per vehicle, except where limit not allowed by state

Commercial General LiabilityBodily Injury and Property Damage $1,000,000 per occurrence/$2,000,000 aggregate

Personal and Advertising Injury $1,000,000 per occurrence/$2,000,000 aggregate

Medical Expense $5,000

Workers’ Compensation Part One: Workers’ Compensation Coverage Statutory Benefits

Part Two: Employer’s Liability Insurance $1,000,000

Initiating CoverageWho will I work with at Aon?You will work with a licensed insurance broker dedicated to the DSP Insurance Program. When you call 1.866.283.7126, they will walk you through the quoting and proposal process. Once you are a customer, they will also assist you with your service needs.

How do I apply?Begin by downloading and completing the application at dspinsurancepolicy.com. Then email it to DSPInsurance@aon.com. Call and speak to an Aon advisor at 1.866.283.7126, Monday through Friday, 9 a.m. to 6 p.m. ET should you have any questions on how to complete the application.

The Program is available to all DSP operating locations nationwide.

What information is required to obtain a rate quote?• Completed Application

• Fleet Schedule

• 5 years loss runs (or all years in business if fewer)

If you have any questions on the application or how to receive loss runs from your current carrier, please call Aon or send an email to DSPInsurance@aon.com.

How long does it take to receive a rate indication?We will provide you a rate indication within two business days of receipt of your fully completed application (subject to underwriting eligibility). We will contact you to advise if more time or information is needed.

How do I receive a formal proposal?To develop your automobile insurance rate, we will need your fleet schedule from Amazon’s vehicle financing partner Element Fleet Corporation. The fleet schedule includes the year, make, model, vehicle ID number and state of registry for each of your automobiles. Once you receive your fleet schedule from Element Fleet Corporation, send it to Aon and we will provide you with a proposal packet containing a firm rate quote. In the event you do not receive your fleet schedule from Element prior to your launch date, you should contact your Aon advisor at 1.866.283.7126, and they will walk you through next steps and the required information needed to receive a formal proposal.

Initiating Coverage cont.

How do I accept coverage?Coverage is effective once you sign, date and return the Acceptance Form included in your proposal packet.

How much time is needed to bind coverage?Coverage can be initiated within 24 hours of receiving your completed/signed Acceptance Form.

When should I make my policies effective?Insurance coverage begins upon your effective date. You should choose an effective date as close as possible to the first day you take possession of your vehicles (Element and/or Rentals) or the first day you have an employee on your payroll (i.e. attending AMZL Training Sessions), whichever comes first.

What payment options are available?There are two payment options:

• You can pay the full annual premium

• Aon will provide you with a premium finance agreement through AFCO. AFCO offers DSPs a unique premium financing arrangement:$0 down with 10 (if startup company) or 11 monthly installments.

What happens after coverage is bound?Once coverage is bound, you will receive your policy documents along with your auto ID cards and any requested certificates of insurance.

When will my BMC91X Motor Carrier Filing be processed?Once coverage is bound and policy numbers assigned, Aon will request our carrier, Old Republic, electronically file the BMC91X on your behalf.

Upon receipt, Aon will provide approval along with the filing endorsement to both the DSP and Amazon Compliance. Please note, your status will not show as ‘active’ on the Federal Motor Carrier Safety Administration (FMCSA) site until the process is finalized on their end.

What happens if my Element Fleet vehicles are not delivered in time for my launch?You will need to rent vehicles until you receive your Element Fleet. Rental companies will require a certificate of insurance as proof of coverage. To bind coverage on your rental vehicles, provide Aon with an updated Fleet Schedule for the obtained rental vehicles to include each vehicle’s year, make model and vehicle ID number.

Workers’ CompensationHow do I determine my annual payroll?The premiums for Workers’ Compensation are based on your actual annual payroll. The employees of DSP operators fall into two categories: Drivers and Clerical.

• The driver class includes all staff operating vehicles and making deliveries

• The clerical class includes the payroll for:

• Owners (if you have opted for coverage)

• Bookkeepers, accountants

• Dispatchers

• Fleet managers

• Secretaries, office staff

How should I estimate my annual payroll?Workers’ Compensation is rated as an estimated annual premium. At the end of the policy year an audit will be conducted at which time you will be asked to report your actual payroll. If the payroll estimated is too low, an additional premium will be calculated and due. If the estimated payroll was too high, a return premium will be calculated and refunded.

Should I estimate my payroll high or low?If you are just starting out and experiencing a shortage of cash, you may want to keep your initial insurance payments down by being conservative on your estimated payroll. Keep in mind, funds will need to be set aside to account for the large account balance due once the audit is processed.

If your business cashflow allows for higher monthly insurance premiums from policy inception, then it would be in your best interest to provide a more accurate estimated annual payroll, therefore eliminating a large year end audit and allowing the full policy year to extend out your payments.

What does Employers Liability cover?Employers Liability helps protect the DSP owner(s) from employee lawsuits alleging the owner’s negligence caused their injury or illness. Should a court determine the owner negligent, Employers Liability provides $1 million of coverage for judgements, settlements, legal fees and punitive damages (if allowable in your state).

ServiceHow do I report changes to my fleet?Any vehicle additions or deletions to your auto policy must be reported to Aon by:

• Emailing an updated Fleet List Endorsement Request form (found on dspinsurancepolicy.com) to DSPEndRequest@aon.com.

• Calling 1.866.283.7126

How do I report other changes to my auto policy?All other changes to your policy can be reported to Aon by calling 1.866.283.7126 or by emailing us at DSPInsurance@aon.com.

What is the easiest way to receive a Certificate of Insurance?While you can produce your own COI using our online process, you can also email the name and address of the person requesting the certificate to DSPInsurance@aon.com. Aon’s representatives will issue the COI for you and send you a copy for your records.

ClaimsHow do I file an insurance claim?All auto, cargo liability, general liability and workers’ compensation claims are to be reported to Sedgwick Claims Management Inc.

Please visit our File a Claim webpage on dspinsurancepolicy.com to download the appropriate Claim Intake Forms or call Sedgwick directly at 1.844.855.3765. They are available 24 hours a day, 7 days a week.

MiscellaneousWhat is the term of my policies?Policies will be issued for 12-month periods unless otherwise specified.

Can I refer friends or colleagues who aren’t part of the DSP Program?No, the Program is an exclusive program only available to DSPs delivering for Amazon Logistics.

Are rental vehicles covered under the Program?Yes, the Program will cover your owned, leased, and rented vehicles. You must report these rental vehicles to Aon to ensure coverage is provided.

What if I have additional business insurance needs?Your Aon broker will gladly work on your behalf to help with your other business insurance needs, such as:

• Property insurance for your leased or owned business property

• Inland Marine insurance for tools and equipment such as the CAT S41 Mobile Device

• Employment Practices Liability to protect you against claims made by employees alleging discrimination, wrongful termination, harassment, etc.

Delivery Service Partner Insurance Program

866.283.7126 • dspinsurancepolicy.com

*Out of 5,977 insurance companies in the U.S., 649 have A.M. Best’s highest, ‘Superior,’ rating. A.M. Best Co., Insurance Information Institute, April 2019.Aon Affinity is the brand name for the brokerage and program administration operations of Affinity Insurance Services, Inc. (TX 13695), (AR 100106022); in CA & MN, AIS Affinity Insurance Agency, Inc. (CA 0795465); in OK, AIS Affinity Insurance Services Inc.; in CA, Aon Affinity Insurance Services, Inc. (CA 0G94493), Aon Direct Insurance Administrators and Berkely Insurance Agency; and in NY, AIS Affinity Insurance Agency.© 2019 Affinity Insurance Services, Inc. F-13700-419W