Ozon and Ingosstrakh to end insurance programme for sellers' goods from 13 October
In short
Ozon and the insurer Ingosstrakh (Ингосстрах) are ending the programme that insures goods of Ozon sellers, with policies valid until 23:59 Moscow time on 12 October and disabled from 13 October. Ingosstrakh linked the decision to changed reinsurance conditions and reduced reinsurance capacity on the insurance market from 1 October. Incidents before 13 October that are recognised as insured events will still be paid out, the companies said.
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Ozon and the insurer SPAO Ingosstrakh (Ингосстрах) have decided to end the current programme insuring the goods of Ozon sellers from 13 October, Ingosstrakh told Interfax and Vedomosti. Policies will remain valid until 23:59 Moscow time on 12 October and will be disabled in sellers' personal accounts from 13 October, an Ingosstrakh representative said. TASS also reported that the programme ends on 13 October. [ 1 , 2 , 3 ]
According to a statement prepared jointly by Ingosstrakh and Ozon and quoted by Interfax, from 1 October the conditions for reinsuring certain risks on the insurance market changed significantly and the available reinsurance capacity shrank, which also affected the ability to secure the necessary reinsurance protection for the seller insurance programme. Vedomosti cited an Ingosstrakh representative giving the same explanation. [ 2 , 3 ]
The joint statement said all obligations under the policies would be fulfilled in line with the insurance terms. Part of the payouts has already been transferred and the rest will be made after inventory at the logistics centres is completed; Interfax quoted the statement as saying the inventory is almost finished and the payouts will be made in the near future. If other incidents occur before 13 October and are recognised as insured events, sellers will also be paid for them. [ 2 , 3 ]
Ozon will continue to work on alternative tools for the financial protection of sellers' goods at its warehouses, and all its other seller support measures remain in place, the statement said. Kommersant reported that a programme for fashion goods with bonus payouts for insurance, launched on 5 October, will also close, and that Ozon will make payouts under it in November. "We understand that the changes are sudden, including for us. We will try to find new opportunities that will help protect your business in case of unforeseen situations," the marketplace's press service said, according to Kommersant. Sellers who had insurance at the time of incidents will receive payouts, and the company will report on the process soon, Kommersant reported. [ 2 , 3 , 4 ]
Kommersant reported that the programme was launched with Ingosstrakh after massive strikes by Ukrainian armed forces on the company's warehouses, and that Ozon's logistics centres were attacked in late August and early September; IBC Global estimated the total space taken out of use at 235,000 square metres. Ingosstrakh earlier paid 8.2 billion roubles to Ozon sellers in the first phase, which began on 15 September, for goods damaged or lost in incidents at the marketplace's logistics sites in Chapayevsk (Samara region), Makhachkala (Dagestan) and Enem (Adygea), Interfax reported, citing 90,000 recipients. Vedomosti reported that the first wave of payouts was completed on 18 September, with 50,000 sellers paid on 15 September and about 40,000 on 16 September. Work to determine and calculate the full volume of payouts is continuing, according to Interfax. [ 2 , 3 , 4 ]
Why it matters
Sellers keeping goods at Ozon warehouses will no longer have this insurance cover from 13 October; Ozon said it will look for alternative ways to protect their goods financially, but the documents name none. The programme was set up after attacks on Ozon warehouses, under which Ingosstrakh has already paid 8.2 billion roubles to sellers.
Key facts
- The Ozon seller goods insurance programme ends on 13 October. [ 1 , 2 , 3 , 4 ]
- Policies remain valid until 23:59 Moscow time on 12 October and will be disabled in sellers' personal accounts from 13 October. [ 2 , 3 , 4 ]
- Ingosstrakh said reinsurance conditions for certain risks changed on the insurance market from 1 October and available reinsurance capacity shrank. [ 2 , 3 ]
- Incidents before 13 October recognised as insured events will be paid out; part of the payouts has already been made, the rest will follow after inventory at logistics centres. [ 2 , 3 ]
- Ozon's other seller support measures remain, and it will look for alternative tools to financially protect goods at its warehouses. [ 2 , 3 ]
- Ingosstrakh earlier paid 8.2 billion roubles to Ozon sellers whose goods were damaged at warehouses in Chapayevsk, Makhachkala and Enem. [ 2 , 3 ]
- A programme for fashion goods with bonus payouts, launched on 5 October, will also close, with payouts in November, Kommersant reported. [ 4 ]
Confirmed by several sources
- The Ozon seller goods insurance programme ends on 13 October. [ 1 , 2 , 3 , 4 ]
- Policies remain valid until 23:59 Moscow time on 12 October. [ 2 , 3 , 4 ]
- The decision was linked to changed reinsurance conditions and reduced reinsurance capacity on the insurance market from 1 October. [ 2 , 3 ]
- Incidents before 13 October recognised as insured events will be paid out. [ 2 , 3 ]
- Ozon's other seller support measures remain in place. [ 2 , 3 ]
- Ingosstrakh earlier paid 8.2 billion roubles to Ozon sellers whose goods were damaged at warehouses in Chapayevsk, Makhachkala and Enem. [ 2 , 3 ]
Still unclear
- When the remaining payouts will be made. The statement says only that they will follow the inventory at logistics centres, which Interfax quoted as almost finished; no date is given.
- What alternative protection Ozon will offer sellers. Ozon said it will look for alternative tools but the documents name none.
- The full volume of payouts. Interfax reported that work to determine and calculate it is continuing.
- Closure of the fashion goods programme launched on 5 October. Reported only by Kommersant.
What local media are saying
Timeline, local time
- TASS reports that the Ozon seller insurance programme ends on 13 October. [ 1 ]
- Vedomosti reports the end of the programme, citing an Ingosstrakh representative. [ 2 ]
- Interfax publishes the joint Ingosstrakh and Ozon statement. [ 3 ]
- Kommersant reports the closure, including that of a fashion goods programme, and quotes Ozon's press service. [ 4 ]
- Policies remain valid until this time, Moscow time, on 12 October. [ 2 , 3 , 4 ]