You are evaluating the NS8 Protect product and would like to understand if NS8 Protect provides chargeback prevention or chargeback insurance.
NS8 Protect mainly focuses on chargeback prevention and risk mitigation, rather than chargeback insurance. NS8 Protect doesn't provide chargeback insurance for two very big reasons:
- The risk of false positives on your customer base i.e., the people who are transacting on your eCommerce platform.
- The increased cost for our customers i.e., the merchants who are using NS8 Protect. Most of the chargeback insurance providers cost 1%+ per transaction.
So, in theory, chargeback insurance sounds like a great idea. But, in practice, it simply doesn't have a strong enough cost/reward ratio for most of the eCommerce businesses.