FBA Lost and Damaged Inventory: When and How to File a Claim

TL;DR

• FBA lost and damaged inventory means items that get lost or broken while with Amazon.

• Amazon will reimburse you for lost or damaged items, but you need to check your reports and file a claim.

• You can get reimbursed for lost items, damaged inventory, and products returned by customers in poor condition.

• Claims need to be filed within 9 months, and you must provide accurate details for a quick process.

• Don’t rely only on Amazon’s automatic reimbursements, and check your reports regularly.

• Using tools like Amazon Seller reimbursement services can help you track and recover missed reimbursements faster.

If you sell on Amazon using FBA, it’s important to understand what happens when your inventory gets lost or damaged in Amazon’s fulfillment centers. While Amazon handles storage, packing, and shipping, mistakes can happen. Items may be misplaced, broken, or lost during the process, and if you’re not paying attention, you could miss out on getting reimbursed for them.

Amazon does offer reimbursements for certain lost or damaged inventory, but it’s up to you to spot the issue and file a claim on time. Many sellers either don’t know how the process works or assume Amazon will handle it automatically, which isn’t always true.

In this blog, we’ll explain what FBA lost and damaged inventory means, why it matters, what qualifies for reimbursement, and how to file a claim the right way. You’ll also learn about common mistakes to avoid so you can protect your profits and recover money Amazon may owe you.

What does FBA lost and damaged inventory mean?

When you use Amazon FBA (Fulfillment by Amazon), you send your products to Amazon’s warehouse, and they handle storage, packing, shipping, and returns. But sometimes, things go wrong. Items can be lost or damaged while they are in Amazon’s control. This is called FBA lost and damaged inventory.

Lost inventory means your product is missing, either because it wasn’t received properly, got misplaced in the warehouse, or was lost during transfers between fulfillment centers. Damaged inventory means the item was broken or made unsellable while being handled by Amazon, during storage, or when returned by a customer.

Amazon is responsible for your inventory once it’s checked into their warehouse. So, if something is lost or damaged by Amazon, you may be eligible for Amazon FBA reimbursement. However, Amazon doesn’t always spot every issue on its own. 

That’s why it’s important to check your reports and track your inventory regularly. If you find something missing or damaged, and it hasn’t been reimbursed, you can file a claim. Understanding what counts as lost or damaged helps you catch problems early and take the right steps to get your money back. It’s a key part of managing your FBA business well.

Why does this matter for sellers?

When you use Amazon FBA, you trust Amazon to take care of your inventory from storage to delivery. Items can get lost, damaged, or mishandled while in Amazon’s warehouse or during shipping.

When this happens, Amazon may owe you money through a reimbursement. But here’s the catch: Amazon doesn’t always catch these mistakes on its own. This is why it matters so much for you as a seller. If you don’t check your reports and track your inventory, you might not even know something went missing or got damaged.

That means you won’t file a claim, and you’ll lose money that’s rightfully yours. Even one or two missed reimbursements each month can add up over time. It’s not just about a few products, it’s about protecting your profits and running your business more smoothly. 

By knowing how FBA lost and damaged inventory works and staying on top of your data, you can make sure you’re not leaving money behind. In short, tracking this carefully helps you stay in control, avoid losses, and make the most of your FBA experience. It’s a small task that can make a big difference to your bottom line.

What qualifies as lost or damaged inventory

Lost or damaged inventory refers to products that get misplaced, broken, or ruined while being stored, handled, or shipped by Amazon. Here’s what qualifies:

• Lost inventory: Items that Amazon can’t find in their warehouse after receiving them or during storage.

• Damaged inventory: Products that are damaged in Amazon’s warehouse, whether by mishandling, improper storage, or packing.

• Customer-damaged returns: Products returned by customers in poor condition that can’t be resold.

• Missing units: When Amazon shows an item as received, but some units are unaccounted for or not restocked.

If your products fall under any of these categories, you may be eligible for reimbursement. Make sure to check your FBA reports regularly and file a claim if you notice any of these issues to get your money back.

When you are eligible for reimbursement

You are eligible for an FBA reimbursement when Amazon loses or damages your inventory while it’s in their warehouse or during the fulfillment process. For example, if an item goes missing after being shipped to Amazon or gets damaged while stored in their warehouse, you can file a reimbursement claim.

You’re also eligible if a customer is refunded but doesn’t return the item. If your product was damaged by the customer during a return, and Amazon marks it as "customer damaged," you may be able to get reimbursed if it wasn’t restocked.

To qualify for reimbursement, the item must not be resellable, and it must be Amazon’s fault whether it’s loss, damage, or other mistakes during the handling of your inventory. Claims usually need to be filed within 9 months of the issue, so it’s important to regularly check your reports to catch problems early.

How to file a claim

Filing a claim for Amazon lost inventory reimbursement is easier than you might think, but it’s important to do it correctly to get your money back.

Step 1: Check your FBA reports

Start by checking the inventory adjustment report and the reimbursement report in Seller Central. Look for any discrepancies, like items marked as "lost" or "damaged" that haven't been reimbursed.  These reports will show you which products are affected.

Step 2: Gather your information

You’ll need the ASIN (Amazon Standard Identification Number), order ID, date of the incident, and the quantity of the affected items. The more detailed your information, the faster Amazon can process your claim.

Step 3: Go to Seller Central

In your Seller Central account, go to Help > Get Support > Fulfillment by Amazon. Select Investigate Other FBA Issues, and then choose Inventory Damaged at Fulfillment Center. This is where you'll file your claim.

Step 4: Submit your claim

Fill in the necessary details and submit your claim. You can attach any supporting documents, such as screenshots from your reports or invoices, to strengthen your case.

Step 5: Follow up

If you don’t get a response in a few days, follow up on your claim. Keep track of your case ID to make sure it’s resolved.

By filing claims promptly and providing accurate information, you can recover money for lost or damaged inventory.

Common mistakes to avoid

• Missing the filing deadline

• Not checking reports regularly

• Failing to provide complete claim information

• Relying only on Amazon’s automatic reimbursements

• Not tracking returned items properly

• Ignoring damaged inventory that hasn’t been reimbursed

• Filing claims without proper documentation

• Not following up on unresolved claims

• Overlooking small discrepancies that add up

• Not using tools or software to track claims

Final thoughts

Keeping track of FBA lost and damaged inventory is important for your profits. Sometimes Amazon misses reimbursements, but by checking your reports regularly and filing claims on time, you can get the money you’re owed.

Always make sure to include the right details, follow up on any claims, and don’t rely only on Amazon’s automatic reimbursements. You can select our Amazon Seller reimbursement services to make the process easier. We help you find missed reimbursements and save you time. By staying on top of your inventory and claims, you can keep your FBA business running smoothly and protect your profits.