Can Your Business
Afford the The Cost of a Single Defect?
Product liability insurance isn't just for big corporations. If you manufacture, distribute, or sell, you're at risk. Get covered against claims on manufacturing defects.
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Why is Product Liability Vital for Business
Product liability insurance protects your business from costly claims that can arise from defective products, design flaws, or manufacturing errors. It's essential protection for product manufacturers and sellers.
What Types Of Businesses Need Product Liability Coverage?
Product Liability Insurance for Manufacturers
Whether you're a small manufacturing business in India or a global conglomerate, if you create products, you're exposed to potential liability. A faulty product can lead to injuries, property damage, and even costly lawsuits.
Product Liability Insurance for Importer
If you import products for sale in India, you are still liable for any defects or damages caused by those products. Product liability insurance for importers provides the necessary protection, even if the product was manufactured elsewhere.
Product Liability Insurance for Distributors and Wholesalers
Even if you don't manufacture products yourself, distributing or wholesaling them exposes you to risk. If a product you distribute turns out to be defective, you could be held liable alongside the manufacturer. Third-party product liability coverage protects you in these situations.
Product Liability Insurance for Amazon Sellers
Whether you have a physical store or sell online, if a product you sell harms someone, you could face a lawsuit. Product liability insurance covers your legal expenses and any damages awarded.
How will Product Liability Insurance Help Businesses?
In the event that you're a small business owner selling handcrafted soaps, customer complaints come flooding in, claiming the use of inferior ingredients. Without product liability insurance, your business could face severe financial losses due to the expenses incurred in recalling all products.
Your Financial Firewall Against Unexpected Claims
Investing in Product Liability insurance for small businesses isn’t just a safety net. It protects not only your business but also the public who use your products.
Inclusions
Bodily Injury to Third Parties
Covers injuries caused by your product
Property Damage to Third-Party Property
Covers against claims of damages caused by your product to other’s property
Legal Defense Costs
Pays for lawyer fees and court costs if you're sued
Product Recall Expenses
Covers the cost of recalling a faulty product
Design Flaws
Covers claims due to a faulty product design
Manufacturing Defects
Covers claims due to errors in the manufacturing process
Warning/Labeling Defects
Covers claims due to inadequate warnings or labels
Exclusions
Intentional Acts
No cover for deliberate harm or damage
Known Defects Prior To Policy Inception
Pre-existing defects not covered
Criminal Acts
Illegal activities are not insured
Contractual Liabilities
Breach of contract is typically excluded
Intellectual Property Infringement
Copyright or patent disputes are not covered
Product Efficacy
Failure to perform as advertised not covered
Pure Financial Loss
Financial losses without physical damage not covered
Expert Guidance
Financial Security
Dedicated Manager
Streamlined Claims Process
Competitive Pricing
Why Buy Product Liability Insurance From Covrzy?
The Consumer Protection Act 2019 safeguards the interest of the customers from potential harm. Protect your small business against legal liabilities with Covrzy’s Product Liability Insurance.
Expert Guidance
Financial Security
Dedicated Manager
Streamlined Claims Process
Competitive Pricing
Real Life Claim Story
In 2003, Cadbury India faced a significant product liability issue when reports surfaced that their Dairy Milk chocolates were infested with worms. This incident caused widespread consumer outrage and led to a massive recall of the affected products. The Food and Drug Administration (FDA) ordered the seizure of the contaminated chocolates, and Cadbury had to take immediate action to address the quality concerns.
Legal Defense Costs
The insurance would provide coverage for legal expenses incurred during regulatory investigations and potential lawsuits from consumers.
Product Recall Expenses
Reimbursement for costs associated with recalling and replacing affected products.
Frequently Asked Questions
Does Product Liability Insurance cover software?
Traditionally, Product Liability Insurance is mainly focused on physical products. Software products are covered by Tech Errors & Omissions insurance policy.
Why do you need Product Liability Insurance?
How much does Product Liability Insurance cost in India?
Do you have more questions?
Contact us for any queries related to business insurance, coverages, plans and policies. Our insurance experts will assist you.
Shield Against Customer Claims For Product Defects
Don't Let a Product Mishap Sink Your Business. Shield Yourself Today!
