Why are banks and insurance companies ignoring the eCommerce market?

Isolated dinosaur and monster model in white (dinosaur, rex, tyrannosaurus)

To my insurance agent

Could you send us something that explicitly states we are covered against legal action if a customer’s pet bird gets sick or dies and we are the target.

The customer will have paid us via credit card, PayPal &/or Apple Pay also – we need insulation against future forms of electronic payments – thank you

Due to a product we sold them manufactured by someone else – also we are seeking coverage against fraudulent purchases using credit cards, paypal & apple pay that somehow do get shipped

Mitch Rezman

the response

Loss prevention efforts on the retailer to verify card authenticity is also paramount when doing business via internet sales.

In discussing this issue with my corporate office, I was advised there are very few instances of this coming up and therefore, there doesn’t seem to be any anticipated changes to our policy to cover this in the near future.

editors note: this is a major brand insurance company stating that financial fraud on the internet – is rare

I feel that I have exhausted all of my resources and I don’t have any new information for you.   We simply do not provide coverage for fraudulent online sales involving bad checks, credit cards or PayPal transactions.

Unfortunately, there is no endorsement or rider that can be purchased to close this potential gap in coverage.  We know that PayPal does not extend any coverage for this either through their service contract.

It may be possible that some VISA/MC/AMEX banks provide some recourse for mercantile operations in this position as part of their contract. It might be worth some investigating.   

As I mentioned when we spoke on the phone last week, I did some research and found that there are a few carriers that offer this coverage as a rider to their business policies for an additional cost.  

Farmers Insurance is one of those companies.  You also have the option to contact a broker who deals with different insurance carriers.

It’s my understanding is that the companies that offer it, also do so as an add on the business policy, and no standalone coverage is available.

I wish I had better news for you.  Please let me know if you have any questions or if I can be of any additional assistance.

the agent

to my agent

sSince 2008 I watched my tax money support broken banks yet when asked what they did with our money, we were told “none of our business”

Chase lost 7 billion in mortgage derivatives in France. I can walk to 3 branches.and have been in business for more than 20 years but they won’t loan me $15,000

so here’s a vision of the future digital small business. I’ve have never signed nor exchanged a single sheet of paper with PayPal but through their Working capital program,  I have a $50,000 line of credit that ebbs and flows via PayPal.

In the past, I have used Kabbage, where I’ve borrowed and repaid more than a quarter million in 24 months – without exchanging one sheet of paper

Banks are so proud to offer next day credit card funding and my question is why so long? Using PayPal to process our credit cards we get funding in real time including amex

The PayPal debit card allows me to expense a great deal out – thus chase & Citi see less than 20% of our cash and credit card processing fees. zero on the thousands of loan interest

re:  I was advised there are very few instances of this coming up and therefore, there doesn’t seem to be any anticipated changes to our policy to cover this in the near future.

much like the aforementioned banks, the insurance industry has their head deep in the sand & up the ass of congress (another noteworthy category of corporations causing the homelessness of millions of people due to sheer negligence – present company excluded)

It’s all about risk management in a digital world – turns out people with large social media followings rarely renege on loans – who knew?

We have 300,000 Facebook fans – Kabbage has access to every piece of financial data that flows in & out of our company – in real time. The more data we give them the higher the line of credit we get –  zero paper documents

I don’t know where my insurance company get’s it’s info – 200,000 websites go live every 24 hours around the globe – we are a crummy little retailer working out of a 900 sq ft store on Western avenue yet we process as many as 1000 debit and credit transactions that never enter the ACH system every month

You will never change the culture at my insurance company and they can laugh all they want at esurance but Google has a huge amount of information on my daily activities, whereabouts even while in motion so it’s no stretch that they are thinking of selling me car insurance (I believe you’ve called it your “bread & butter”) 

Wherever I am and whenever I travel I carry with a cornucopia of android, iOS, cell phone digital footprints and I conduct almost 100% of my business through Google Chrome – the browser.

Google and (Kabbage) are actualizing (think search engine rankings) my every written thought and movement at nanosecond speed in real time.

Agent, I’ve known you 10 years, met & spoke many times. You & Insurance carrier have (had) ATF case files on us from the fire.

Yet, Google literally knows what, a million squared more about me, than Insurance carrier.

We are enterprise Google customers and spend thousands monthly on advertising with them. We’re considered a mom & pop operation, but theres millions of us spending billions on Adwords all with money coming in electronically

Google calls me up regularly to ask how it’s going with my advertising and would I mind if they showed me how my changing some things I can make more money saving me a $500/mo management fee from a 3rd party? Who does that?

So ask the gypsy fortune teller’s in Insurance companies home office 2 things.

At the end of the day who will be able to offer me tighter coverage for less money – on ANYTHING? The insurance company with my driving and financial history or the company with a 10 year digital footprint of me absorbing my every movement and able to look at me from 100 million squared – data points – including right this very second

Question 2 – Google captures my digital foot print 24/7 and is performing risk assessment in many forms, on me and my corporation – as I write this

The gypsy fortune teller “was advised there are very few instances of this coming up and therefore, there doesn’t seem to be any anticipated changes to our policy to cover this in the near future” and yet the most recent information I’ve given my insurance company is a new bank earlier this year gotta be the Ouija Board or crystal ball?

I guess when you think about it the tens of millions of small businesses selling online, on platforms like eBay and Amazon or our own website like us relying on digital currency 100% – who would possibly have the need for credit card fraud protection – no, no market there. Amex never solicits financial nor insurance products – daily

circling back to the lack of solutions offered in todays insurance market provided by virtual dinosaurs, here’s a company that makes a dandy living in a market your home office doesn’t believe exists

it’s a murical lord

talk soon

 

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