|
|
 |
|
|
Know more about product liability insurance by Homer Booker
|
|
|
Know more about product liability insurance |
|
|
|
|
|
Insurance
|
|
|
A wide range of products are manufactured and used in each part of the world. It ranges from the consumer goods to pharmaceuticals, the only thing the customers count is the safety and effectiveness. But in various situations, these expectations are not met by various products. They result in defect and loss due to the manufacturing issues or the wrong instructions. If it is a small product, it won’t make much impact. But if it is not the same case when you consider massive products like electronic goods that costs a lot of money. It also adds several additional losses such as legal costs, medical costs etc. This easily results in the company getting sued. To protect the business firm from being sued, the entrepreneurs usually sign a deal of product liability insurance. In accordance with the level of your business, the insurance coverage differs. A small company receives less coverage than a huge one. It also depends upon the industry you are dealing with and the risk factor of manufactured products. Definition Product liability insurance (in Denmark it's known as Leder du efter en produktansvarsforsikring?) is a type of insurance that protects both the business and the retailers from the risk of suing as they performed some malpractice in the product manufacturing. The legal policies of product liability insurance cover the entire legal payments that the insured need to be remitted if accountable. But these policies won’t cover the contractual liabilities and planned defects. The liability insurance acts different in accordance with the circumstances. In the case of business, the need is at hand if an employee gets injured at the time of business operations. In product manufacturing, it is needed to cover up the fault caused by any of their products. Benefits of product liability insurance After signing the insurance deal with any of the product liability insurance providers, your company will be completely monitored by them. They make review on the existing insurance deals, working and supply chain operation of the company. On the basis of the review report they finalize the insurance coverage. Thus the risks faced in various sectors can be minimized. The protection from the legal liabilities can be maintained as long as you remit the premium. In accordance with the dealers, the insurance coverage differs. In common they deal with the liabilities raised due to damage, injury, pollution etc. Claims of product liability insurance In any product liability insurance plans you can come across three main types of product claims. They are design defect, defective warnings and production flaws. If you design a product in a manner by which it is inherently unsafe, it leads to design defect. If a product is not correctly labeled and doesn’t include necessary warnings for the customers, defective warning claim will generate. If a production involves unsafe proportion during any of the manufacturing stages and causes serious effects to the customers, production or manufacturing flaws will generate. I hope you got a clear idea about the product liability insurance prevailing in the business field for many years. Thus it is a protective coverage to both the manufacturers and the retailers from the financial loss that may suffer due to the defect in their product.
Related Articles -
product, liability, insurance, tips, advice,
|
Rate This Article  |
|
|
|
|
|
Do you Agree or Disagree? Have a Comment? POST IT!
| Reader Opinions |
|
|
|
|
|
|
|
|
|
| Author Login |
|
|
 |
Advertiser Login
ADVERTISE HERE NOW!
Limited Time $60 Offer!
90 Days-1.5 Million Views
|
|
GENE MYERS
Author of four books and two screenplays; frequent magazine contributor. I have four other books "in...more
|
|
|
|
|
ALEX BELSEY
I am the editor of QUAY Magazine, a B2B publication based in the South West of the UK. I am also the...more
|
|
|
|
|
DONNIE LEWIS
I'm an avid consumer of a smoothie a day living, herbs, vitamins and daily dose of exercise. I'm 60...more
|
|
|
|
|
SUSAN FRIESEN
Located in the lower mainland of B.C., Susan Friesen is a visionary brand strategist, entrepreneur, ...more
|
|
|
|
|
TIM FAY
After 60-plus years of living, I am just trying to pass down some of the information that I have lea...more
|
|
|
|
|
PAUL PHILIPS
For more articles, blog messages & videos and a free e-book download go to www.NewParadigm.ws your p...more
|
|
|
|
|
LAURA JEEVES
At LeadGenerators, we specialise in content-led Online Marketing Strategies for our clients in the t...more
|
|
|
|
|
ADRIAN JOELE
I have been involved in nutrition and weight management for over 12 years and I like to share my kn...more
|
|
|
|
|
STEPHEN BYE
Steve Bye is currently a fiction writer, who published his first novel, ‘Looking Forward Through the...more
|
|
|
|
