Amazon Lost Inventory Reimbursement: A 2026 Guide

Amazon Lost Inventory Reimbursement: A 2026 Guide

Contents
CTA img
TLDR
icon
Amazon’s shorter claim window requires routine, proactive audits for FBA sellers
icon
Missed claims often result from unclear rules and manual process gaps
icon
Manual audits become unsustainable as order volume or accounts grow
icon
Systematic tracking and documentation are essential for successful claims
icon
Automation and integrated dashboards make audits scalable and accurate

FBA sellers lose 1–3% of annual revenue to unreimbursed inventory errors. For a business generating $2 million in FBA sales, that's $20,000–$60,000 left on the table.

The reason: Amazon's 60-day claim window. 

Once inventory is marked lost or damaged, you have 60 days to file a manual claim. Miss that deadline, and the money is unrecoverable.

Without routine audits, these claims slip through. Lost units, warehouse damage, and customer return discrepancies accumulate silently across thousands of transactions.

This guide shows you how to build an audit system that:

  • Catches every eligible claim 
  • Scales with your business
  • Turns reimbursement recovery into a reliable revenue stream

What qualifies for Amazon lost inventory reimbursement

Amazon reimburses sellers for specific types of inventory losses, but the rules and documentation requirements are strict. The main qualifying events include:

  • Inventory lost in Amazon’s warehouse
  • Inventory damaged in transit or at the fulfillment center
  • Customer returns not received or processed correctly
  • Inbound shipments marked as delivered but never stocked
  • Fee overcharges or misapplied fees

To file a claim, Amazon requires clear documentation. It includes shipment records, supplier invoices, photos of damaged items, and communication logs. 

Many sellers miss claims because they do not collect or centralize this evidence, or because they are unclear on which events qualify.

Top reasons claims get missed:

  • Not checking all relevant Amazon reports (Inventory Adjustment, Reimbursement, Settlement)
  • Scattered documentation across emails, folders, and systems
  • Manual oversight or lack of a routine audit process
  • Unclear on Amazon’s evolving policies

Example

A shipment marked “delivered” but never stocked often goes unnoticed if not cross-checked against inventory reports.

Missing a claim is not merely oversight; it underscores the real cost to your business, especially as you scale.

The cost of missed audits: Pitfalls, deadlines, and scaling challenges

Manual audits are time-consuming and error-prone. 

  • A typical manual audit takes 4–6 hours per account per month 
  • As your business grows, error rates rise with more SKUs or accounts 
  • The window accelerates risk: one missed month can mean thousands unrecoverable

Managing two or more Amazon accounts or regions multiplies the audit burden. Spreadsheets and memory cannot keep up. 

Common pitfalls include:

Pitfall

Impact

Missed deadlines

Lost reimbursement revenue

Scattered documentation

Incomplete claims, rejections

Manual tracking

High error rates, time drain

No audit owner

Claims fall through the cracks

Table: Common audit pitfalls and their impact

Centralized dashboards and automated reconciliation, like those in Webgility, cut audit time and reduce errors, especially when scaling.

To avoid these pitfalls, you need a systematic approach. 

Suggested watch:

Basics of Reconciliation and Webgility Desktop - Customer Webinar Series 

Building your Amazon reimbursement audit system: A step-by-step method

Follow these steps to build a reliable audit workflow:

  1. Download Inventory Adjustment and Reimbursement reports from Amazon Seller Central monthly
  2. Review for discrepancies: lost, damaged, or missing items
  3. Centralize findings in a tracker or dashboard (sample columns: SKU, event type, date, evidence, claim status)
  4. Standardize supporting documentation (screenshots, PDFs, shipment records, etc.)
  5. Assign team roles for review, filing, and follow-up

Sample tracker columns:

  • SKU/ASIN
  • Event type (lost, damaged, return, fee)
  • Date reported
  • Evidence collected
  • Claim status (not filed, filed, approved, denied)
  • Notes

Sellers often use platforms like Webgility to centralize order and inventory data, making it easier to match discrepancies and organize evidence for claims. Integrated dashboards help teams collaborate and avoid duplicate work.

With your audit system in place, the next step is to refine your tracking and documentation for maximum efficiency.

Best practices for tracking, documentation, and claim submission

To maximize claim success:

  • Collect evidence immediately (screenshots, PDFs, shipment records)
  • Track claim status (dates, case IDs, outcomes, follow-ups)
  • Set internal deadlines to beat Amazon’s 60-day window (aim for day 45)
  • Review claims regularly and follow up on pending cases

Claim tracking template:

  • Claim date
  • Case ID
  • Documentation attached
  • Status (pending, approved, denied)
  • Follow-up date

Integrated solutions can timestamp and store evidence, and track claim status in sync with your accounting system, reducing manual overhead.

As your business grows, maintaining discipline becomes harder. This is where automation and real-time visibility come in.

Suggested Read: How to Sync Inventory With Webgility

Scaling your audit system: Automation and real-time visibility

Manual audits break down as order volume, SKUs, or accounts increase. Automation is the only way to sustain accurate, timely audits at scale.

Key benefits of automation and integration:

  • Automated report pulls and scheduled reconciliations
  • Real-time flagging of discrepancies and pending claims
  • Dashboard visibility across multiple accounts or regions
  • Direct connection to accounting for full financial visibility

How Webgility helps

  • Real-time inventory sync across Amazon, ecommerce, and accounting platforms
  • Automated Amazon payout reconciliation and claim tracking
  • Multi-account support in a single dashboard
  • Save up to 90% of time on reconciliation and month-end close
  • Handle 10x more orders with the same team

Customer example: 

Epic Mens saved 80+ hours a week and scaled order volume by 42% after centralizing audits with Webgility.

Automation surfaces discrepancies quickly, so you can act before the window closes. While no tool guarantees reimbursement, integrated systems make it possible to recover more with less effort.

Suggested Watch: Setting Up Amazon with Webgility Online- Customer Webinar Series

Final thoughts: Make audit discipline your Amazon advantage

The urgency of Amazon’s shorter window makes routine, systematic audits essential. Moving from manual to automated, integrated workflows maximizes recovered revenue and reduces stress as you scale.

As you grow, invest in systems that keep you ahead of operational risk. 

Integrated platforms like Webgility support scalable, stress-free Amazon operations so you can focus on growth, not spreadsheets.

Ready to recover more and stress less? Learn how Webgility can help. Get a demo.

FAQs

What types of inventory losses does Amazon reimburse?

Amazon reimburses for lost or damaged inventory in their fulfillment centers, customer returns not processed correctly, and certain shipment discrepancies. Each claim type requires specific documentation.

How quickly are Amazon lost inventory claims processed?

Most claims are resolved within 1–2 weeks, but complex cases may take up to 30 days. Timely submission and complete documentation help speed up the process.

Can automation tools submit claims directly to Amazon?

Automation tools can identify discrepancies and organize evidence, but you must submit claims through Amazon Seller Central. Tools streamline the process but do not replace manual submission.

What happens if I miss the 60-day claim window?

If you do not file within 60 days of the loss event, you forfeit the right to reimbursement. There are no exceptions to this deadline.

David Seth is an Accountant Consultant at Webgility. He is passionate about empowering business owners through his accounting and QuickBooks Online expertise. His vision to transform accountants and bookkeepers into Holistic Accountants continues to grow.