Yes, I agree with you.
When that kind of situation happens to me, I always email the buyer to ask for the correct address confirmation. I also send an email to Seller Support to report the problem. By doing this, at least I will have some written proof that I tried to fix the problem.
Also, make sure to send the package with Signature Confirmation to protect yourself.

But generally not with great accuracy, is the problem. Too many false positives.

We turned that on for an hour once (stamps.com offers the same feature) but after having it correct far too many addresses we gave up on it.

bunga bunga!

The shipping function for 3P sellers was an afterthought implemented late and poorly.

Early on, Amazon decided not to use the credit card issuers AVS (address verification system) because it complicated gift orders, and was of little value because Amazon had no defense for INR claims anyway because most of its shipments did not have signatures of in the early days, not even tracking.

Retailers who verify addresses rely heavily on AVS

Amazon verifies addresses, but it’s not perfect.
On shipstation, etc, sometimes the address appears as problematic because the buyer put apt number not in the order as in USPS database, but it will be delivered…
The solution…purchase labels via amazon.
If there is a problem, amazon will take care of it.
Contacting the buyer…if the buyer will not respond, what will you do ?

What Bunga Bunga said – since you cannot edit if you use Amazon Buy Shipping it would be pointless there. Your only choice would be ship or cancel. Just a way to create trouble. And if you use other systems rather than Amazon buy shipping – you will see the flags.

But even with a flag, I would usually ship as is unless they have a wrong zip or something that can be fixed with a high degree of certainty.

There are legitimate addresses have never been recognized by the USPS system as being correct. Even when the resident checks with postal authorities to make sure they have everything entered properly.

But what are your actual results when shipping to these flagged addresses?

When you buy the item and enter your address, Amazon does an address verification at that point. If it is not formatted correctly or if the address doesn’t exist, Amazon suggests a corrected format. If the customer doens’t accept it, you receive the incorrect format or address.

I used to waste a lot of time on address issues, but decided long ago it’s not worth the effort. If ShippingEasy flags an address I take a quick look for obvious errors, something like leaving out a space between segments (i.e. Mainst), etc. The others I just accept and get very few undeliverable address returns or INR claims. Time is valuable, I don’t like to waste when there is no corresponding dollar value.