While I agree that liability is different than livestock coverage, I think
@PacificEastAquaculture has some form of insurance they use on their shipping
While I understand what your getting at, this is a terrible comparison in my opinion. Almost all Amazon packages are delivered by Amazon (not by FedEx or UPS), so it would be Amazons responsibility for the package the entire time. Once a package is left with a 3rd shipper, the responsibility for the package, goes to the shipping company as the store has no control at that point, whereas Amazon has full control over the entire situation.
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With all of that said, does the policy appear unfair, absolutely. If I order online though, I generally try to order enough to get free shipping (even when ordering the replacement) as I’m aware most places have these policies.
I know I had one vendor, that had even more terrible policy, if not just store credit but expiring store credit (must use in 60 or 90 days). I can’t remember the vendor name but I don’t believe it was R2R vendor.