Auction Fraud Protection
Overview
Have you ever shopped on eBay? Have you ever not gotten what you "thought" was being offered? Or not gotten the product at all? This revolutionary benefit provides protection against getting ripped off by someone through an auction for something valued up to $200 for five separate transactions during any 12 month period.
- Covers all on line auction sites.
- Protects against non delivery and misrepresentation on new and used items up to $200.00, up to a maximum of $1,000 for all transactions during a 12 month period.
Description
This benefit will pay for a loss the Member incurs resulting directly from a fraudulent transaction or material misrepresentation on an eligible auction site. Coverage is provided only when the auction involves a seller with a positive feedback rating, one that is in "good standing" or has a comparable rating. Coverage will only pay a loss associated with an auction up to the lesser of the actual transaction amount or $200 per claim, up to a maximum of $1,000 per 12 month period. Coverage is only provided when the bid is over $25 and under $10,000. Each loss submitted as a claim is subject to a $20 deductible. There is a lifetime limit of six (6) claims per user.
Coverage is excess of any other applicable insurance or indemnity. If at the time of loss, any other insurance is in effect on the property, whether collectible or not, this coverage will pay only for the amount of the loss in excess of the amount due from the other coverage.
The Member must be a registered buyer/seller of the auction site, be in Good Standing with that site and the winning bidder of a covered auction.
The item must have been purchased from a Seller that is registered on the auction site and in Good Standing with that site.
Definitions:
- In Good Standing -- means that the Buyer and the Seller have a feedback rating defined by the participating organization and have not been disqualified from buying or selling on the auction site.
- Fraudulent Transaction - The Member sends money to the Seller for purchase of the Covered Item(s), in good faith, and the Seller claims to have sent the Item(s) described in the auction and cannot or will not produce proof of shipment.
- Material Misrepresentation- The Member sends money to the Seller, in good faith, for purchase of the Covered Item(s) and the description of the Item(s) (features, benefits, condition, shape, color, material) or, any other important aspect of the Item(s) is materially different than that of the Item(s) received by the Member and would be recognized as so by a reasonable and prudent person
- Auction Item Page -- is the final listing documenting the Buyer and Seller, Item(s) description, auction date, auction close amount, Buyer/Seller feedback ratings, email addresses, user Ids and auction numbers.
- Close of Auction-- The auction close date specified by the auction site.
Conditions:
- Amounts paid under this program only apply to transactions involving Buyers and Sellers that are both registered and in “Good Standing” with auction site at the Close of Auction.
- All claims must be reported to and received by the administrator within sixty (60) days of the close of the auction.
- Misrepresentation or Fraud: This coverage shall be void if, whether before or after a loss, the Seller or Buyer has concealed or misrepresented any material fact or circumstance concerning this coverage or the subject thereof, or the interest of the Insured therein, or in case of any fraud or false swearing by the Insured relating thereto.
- Coverage purchased by the Seller is only transferable to the winning bidder (Buyer) of that auction.
Exclusions:
- Anything that the auction site states is not allowed to be sold on their web site; Items whose sale violates the auction site User Agreement;
- A person or entity other than the Member;
- Losses for which no premium has been paid;
- Items illegal under the laws of the states;
- Explosives, consumables, perishables, animals, or illegal substances;
- Unlicensed sales of guns and weapons;
- Sales of pornographic materials;
- Directly or indirectly occasioned by, happening through or in consequence of war, invasion, acts of foreign enemies, hostilities (whether war be declared or not) civil war, rebellion, revolution, insurrection, military or usurped power or confiscation or nationalization or requisition or destruction of or damage to property by or under the order of any government, public, local authority or customs official;
- Items which infringe on the intellectual property of another;
- Consumables and perishables;
- Items which the Member damages through modification or alteration (including but not limited to cutting, rewiring, sawing, or shaping);
- Services (including but not limited to the performance or rendering of labor or maintenance, repair or installation of products, goods or property, or professional advice of any kind);
- Loss caused by or resulting from, inherent product defects;
- Loss arising from illegal activity or acts; acts of God (including but not limited to flood, hurricane, and earthquake);
- Property while in the care, custody or control of a common carrier (any land, water, or air conveyance operated under a license for the transportation of passengers for hire);
- Shipping charges, taxes, storage fees, postage, transportation and delivery charges;
- Loss resulting from Mysterious Disappearance; lost or items to the wrong address.
How To File a Claim
How To File A Claim:
- First the Member must file a complaint with the auction site and make every possible attempt to rectify the situation with the Seller prior to filing a claim. If the complaint is still outstanding after thirty (30) days, the member can call 1-800-711-4280 and request a Claim Form.
- Once the Member receives the Claim Form he/she should complete the form and mail to the administrator with all required documentation within sixty (60) days from the close of the auction.
- Claim forms or incomplete claim forms not received within sixty (60) days of the Member’s auction close date will be declined.
- Payment or denial notification on completed claim forms will be processed within forty-five (45) days of receipt.