If you are a dropshipping business, then in order to be covered you'll be asked to agree that you can:
"Maintain rights of recourse against a UK or EU-based manufacturer or wholesaler for all products you sell in relation to faults and safety issues".
By “maintaining rights of recourse”, we mean:
(1) the supplier of your products is either UK or EU-based; and
(2) in your contract with them, you have not waived your right to enforce common law liabilities and responsibilities through the UK or European court system.
If you cannot agree with this statement, then you can still be covered for dropshipping as long as you physically inspect a "sample of at least 5% of the stock of all the items listed for sale on at regular intervals and keep records of this (inspection)".