Product liability insurance protects a business from claims that a product it designed, manufactured, or sold caused bodily injury or property damage to a consumer. It covers legal fees and damages from lawsuits alleging design defects, manufacturing flaws, or a failure to provide adequate warnings, and is crucial for any business involved in the chain of commerce.
- What It Is: Insurance that protects a business against claims that a product it manufactured, distributed, or sold caused bodily injury or property damage.
- What It Covers:
- Design Defects: Flaws in the product’s design.
- Manufacturing Flaws: Errors made during production.
- Marketing Defects: Failure to provide adequate warnings or instructions.
- Who It’s For: Manufacturers, distributors, and retailers of physical goods.
- Key Considerations: Often required by retail partners before they will agree to sell your product.