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Amazon Reimbursement Policy Overhaul

Last Updated: December 1, 2025
11/28/2025
3 min
Summarize with AI
M

COO at Nova Analytics

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Max leads operations at Nova Analytics, helping Amazon sellers optimize their business performance through data-driven insights and strategic automation.

Quick Summary

  • Reimbursements now calculated using manufacturing cost instead of retail selling price
  • Average recovery dropped from $18.50 to $6.20 per unit for typical products
  • Must submit manufacturing cost documentation within 60 days of claim to maximize recovery

Nova surfaces every Amazon fee, refund, and margin shift in your live P&L, across 21 marketplaces. Explore the live P&L

What's Happening

Amazon implemented a major policy shift on November 15, 2025: FBA reimbursements for lost, damaged, or destroyed inventory are now calculated based on manufacturing cost Instead of retail selling price. Sellers report recovery amounts dropping 50-75% on average. Across the agency rollups we operate, this kind of policy move shows up in client P&L the same week it ships.

Key Dates & Deadlines

Nov 15, 2025

Policy change effective date

All claims filed after this date use manufacturing cost basis

60-day window

Submit cost documentation

Must provide manufacturing cost proof within 60 days of claim

What You Should Do Now

  1. 1.

    Update Cost of Goods in Seller Central

    Enter accurate manufacturing cost per unit for ALL SKUs to maximize future reimbursements.

  2. 2.

    Prepare Cost Documentation

    Gather invoices showing per-unit costs. Amazon requires submission within 60 days of claim filing.

How Nova Helps

Nova's P&L Dashboard tracks all income and expenses, including reimbursements. Monitor reimbursement amounts over time and compare against historical averages to spot discrepancies.

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Frequently Asked Questions

Common questions about this topic

The policy change took effect on November 15, 2025. All reimbursements filed after this date are calculated based on manufacturing cost rather than retail selling price.
Sellers report 50-75% lower recovery amounts. The average recovery dropped from $18.50 to $6.20 per unit for typical products.
You must submit manufacturing cost proof (invoices from suppliers) within 60 days of filing a claim. Update your Cost of Goods in Seller Central with accurate manufacturing costs.

Verified Sources

All information verified from official Amazon sources and trusted industry analysts as of publication date.

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