The health and wellness industry in Australia is booming, with online supplement businesses popping up all across the nation. But as the market grows, so does the potential risk. Whether you’re a startup selling protein powder or a private-label brand offering herbal remedies, securing supplement company insurance is more than just smart – it’s essential.
Let’s break down why you need it, what it covers, and how to find the right cover for your business.
Why Insurance Matters for Online Supplement Retailers
If you sell dietary, herbal, or fitness supplements online, you’re entering a market that deals directly with human health. This means there’s an inherent legal and financial risk in every transaction.
The risks include:
- Adverse reactions to ingredients
- Faulty or mislabelled products
- Claims of false advertising
- Damage caused during shipping
- Product recalls or regulatory violations
Without supplement company insurance, one claim could financially cripple your business – even if you’re not at fault.
Is Insurance Legally Required in Australia?
Technically, insurance isn’t mandated by law to sell supplements online, but it’s highly recommended – and often required by third parties, such as:
- E-commerce platforms like Amazon or eBay
- Payment processors
- Retail distributors or wholesalers
- Private label manufacturers
Additionally, if you import, manufacture or rebrand supplements, the Therapeutic Goods Administration (TGA) has strict regulations you must comply with. Their official guidelines outline when your products may be considered therapeutic goods, which carries additional responsibilities and higher risk.
What Does Supplement Company Insurance Cover?
When properly tailored, your insurance policy will typically include:
1. Product Liability Insurance
Covers injury or illness caused by your supplements—whether due to a defect, contamination, or a customer’s adverse reaction.
2. Public Liability Insurance
If you attend expos, markets or run a physical warehouse, this protects against injury or damage to third parties on-site.
3. Professional Indemnity (If You Give Advice)
If your business also provides advice or guidance on supplement usage, you may need protection against misinformation or negligent claims.
4. Cyber Liability
Selling online? This covers data breaches, hacking, and customer data loss – especially important for Shopify or WooCommerce sellers.
5. Stock and Transit Insurance
Protects your products while stored or in transit, whether shipping nationally or importing internationally.
Where to Get Supplement Company Insurance
The safest route is to work with an insurance specialist who understands the health and wellness space. At Pivotal Insurance Brokers, we provide tailored coverage for Australian supplement brands, whether you manufacture, import, or sell online.
Need local guidance? Our Gold Coast team helps supplement businesses across Queensland and Australia find the right policy for their operations.
We also offer:
- Free quotes for supplement sellers
- Fast turnaround for compliance needs
- Flexible monthly payment options
How to Choose the Right Policy
When shopping for supplement company insurance, consider:
- The type of supplements you sell (sports, wellness, herbal, etc.)
- Whether you manufacture, import or rebrand
- Your sales platforms (e.g. Shopify, Amazon, etc.)
- Your fulfilment model (e.g. dropshipping, 3PL, in-house)
Avoid cookie-cutter policies. Always read the PDS (Product Disclosure Statement) and ask for industry-specific coverage.
Do Dropshippers and Private Label Sellers Need Insurance?
Yes, especially if your name appears on the label or you’re marketing the product under your brand. In the eyes of the law, you’re responsible for the safety and accuracy of the product, even if a third party manufactures it.
If you’re selling supplements via Amazon FBA, many policies now require proof of insurance with minimum limits. Failing to comply can get your store suspended.
Final Thoughts
In Australia’s tightly regulated supplement industry, having the right supplement company insurance can protect your business from claims, reputation loss, and financial strain.
Whether you’re based in Sydney, Brisbane, or looking for an experienced insurance broker on the Gold Coast, Pivotal Insurance Brokers has solutions tailored to your needs.
👉 Request your free supplement insurance quote today and get peace of mind while scaling your online brand.