Web Merchant Guard

What is Web Merchant Guard?

The Web Merchant Guard policy pays for losses that card-not-present (CNP) merchants experience due to transactions utilizing fraudulent, stolen, or counterfeit cards. Similar to the structure of the PCI Insurance policy, the Web Merchant Guard allows acquirers to indemnify their CNP merchants for losses from fraudulent transactions.

How does this differ from other policies available, isn’t this chargeback insurance?

This coverage is not available elsewhere; Frates is the original and exclusive provider of this policy.

The policy is not chargeback insurance as it covers losses a merchant is liable for from fraudulent transactions only.  Frates Uncollectible Chargeback Insurance policy is much broader and insures the acquirer from their merchants.

 

What are some other benefits of Web Merchant Guard?

Acquirers add value and gain an additional revenue stream with the ability to guarantee fraudulent losses for their CNP merchants.  The guarantee is backed by the insurance policy.

 

What types of companies need this type of insurance?

An acquirer in the payments industry with a portfolio of CNP merchants that is looking to increase profit margins.

 

Claim Scenarios

A group of CNP merchants suffer chargeback losses due to counterfeit cards being used to purchase goods.  Because the merchants opted into the acquirer’s guarantee program, the losses are paid by the policy.