How does Swap Protect Work?

When it comes to securing orders against unforeseen issues like loss, theft, or damage, Swap Protect offers a solution designed to provide peace of mind for you and your customers. With the backing of trusted insurance brokers, Swap Protect combines simplicity, automation, and compliance to deliver a streamlined experience.

The Core of Swap Protect

Swap Protect operates through a collaborative approach. While Swap is not an insurance provider, it partners with third-party insurance brokers who underwrite and manage the policies. These brokers collect a small premium to assume financial responsibility for covered shipments, enabling you and your customers to protect orders confidently.

You collect the insurance premiums from your customers (if using Consumer Mode), and Swap collects them from you and pays them to the insurance brokers.

Modes of Protection

Swap Protect provides two distinct modes to implement:

Consumer Mode

Shops add a protection widget to their Shopify store, which is visible on the cart page.
Consumers can opt-in to protect their orders by selecting the widget before checkout.
Opt-in compliance aligns with Shopify’s regulations, ensuring that customers explicitly choose to protect their orders.
Protect adds a small premium to the total order value, which is passed on to the customer.

Merchant Mode

All orders are automatically protected without any visible widget on the storefront.
You absorb the cost of protection, allowing customers to benefit without needing to opt in.
You are encouraged to communicate this feature to customers through messaging on your site, such as: “All your orders are fully protected by Swap Protect.”

How to Get Started with Swap Protect

Setting up Swap Protect is designed to be quick and straightforward, enabling you to focus on your business.

Learn more about installing Swap Protect.

The Claims Process

Thanks to the collaboration between Swap, insurance brokers, and you, handling claims with Swap Protect is straightforward.

Customer Initiates a Claim
- Customers can file claims through the user-friendly claims portal. They must provide details about the issue, such as lost or damaged items.
Swap Facilitates the Process
- Once a claim is submitted, Swap acts as a facilitator, routing the claim to the insurance broker.
- The broker evaluates the claim and determines the resolution.
Claim Updates
- You can track claim statuses through your dashboard. Statuses include “In Progress,” “Approved,” or “Denied,”
- Customers receive updates via email about the progress and resolution of their claims.
Resolution
- Approved claims result in compensation, typically issued as store credit for the customer.

Legal and Compliance Considerations

Swap Protect is designed with compliance and legal clarity in mind:

Shopify Compliance: Swap Protect adheres to Shopify’s updated regulations, which prohibit automatic opt-ins for protection. Customers must actively choose to add protection to their orders.
Not an Insurance Company: Swap’s role is to automate and facilitate protection, while insurance brokers handle underwriting and risk management.
Evolving Coverage Rules: Most e-commerce products, such as apparel and consumer goods, are covered. However, restrictions may apply to specific product categories or destinations. You will be notified of updates as they arise.

Why Choose Swap Protect?

Swap Protects offers benefits to both you and your customers.

Benefits for Merchants
- Simplifies the process of offering protection.
- Improves customer trust and satisfaction.
- Provides a choice between cost-absorbing (Merchant Mode) or customer-funded (Consumer Mode) protection.
Benefits for Customers
- Offers peace of mind with secure purchases.
- Provides a transparent and straightforward claims process.