Is In-Home Delivery Just Another Liability?

delivery liability

Is In-Home Delivery Just Another Liability?

Have you ever had a package stolen right off of your porch? It seems to be a growing problem among Americans. Amazon has created a new program known as Amazon Key that allows delivery people to drop off packages inside of customer homes. In tandem with Amazon Key, Amazon introduced its internet-connected security camera called the Amazon Cloud Cam. Customers who wish to participate in the program must purchase an accompanying “smart” lock. The smart lock allows delivery people to enter a home with a special code and it also activates the camera.

It sounds convenient, but this business model raises issues for homeowner insurers and leaves retailers open to new risks such as:

  1. A pet attacking the courier
  2. A slip or fall during delivery
  3. A lock malfunction or courier forgetting to shut the door
  4. A knocked over candle
  5. Theft

The response on Twitter concerning Amazon Key was mostly negative. Users questioned the safety of personal property and home while utilizing this program. Although Amazon Key is in the earliest stages of development, most insurance agents are thinking ahead about in-home delivery creating liabilities.

This feature might also cause home insurance prices to go up. When a person has homeowner’s insurance, it covers property and liability. As technology advances, policies will have to catch up, and that could mean that rates will go up. If more people adopt the smart lock technology, carriers will need to wrestle with delivery liability questions.

In this day and age, many life-changing inventions are being made every day, but they may come at a cost. AWS stays ahead of the curve when it comes to liability to make sure that you and your loved ones are covered.

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Melinda Martin

Account Executive

Melinda began her insurance career in 1985 with Alexander & Alexander where she received her Property & Casualty and Life & Health license. Since then she has worked at various agencies in the New Orleans area and in California as a senior account manager for Employee Benefit Plans.  While in California, she was also the Membership Director for the Burbank Chamber of Commerce. Melinda joined the AWS team in July of 2015.

Michael A. Seeling

Vice President

Graduated from the University of Louisiana at Lafayette with a B.A. in Insurance Risk Management and is a graduate of Archbishop Rummel High School in New Orleans. He joined AWS in October of 2008 and has been awarded the Patient Protection and Affordable Care Act Certification (PPACA). Additionally, he is working towards his Certified Insurance Counselor (CIC), Registered Health Underwriter (RHU), and Registered Employee Benefits Consultant (REBC) designations. He is also a member of the National Association of Health Underwriters (NAHU), National Association of Insurance Financial Advisors (NAIFA), and is an active member of the Fore!Kids foundation.

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