Product Liability Insurance

If you’re in the business of designing, manufacturing or distributing a product, it can be a very exciting venture as you create and bring things to market. But in today’s complex economic and litigious environment, you’re also exposed to significant product liability risk. In fact, many wholesale and retail operations require that you as the manufacturer, distributor, or wholesaler have Products Liability insurance on the items you develop. Even, as a retailer of these products, you could be held responsible if an injury occurs as a result of using a product you sell.

At A.D. Martin Commercial Insurance, Products Liability insurance is a key area in which we specialize as we insure many manufacturersdistributorswholesalers, and retailers throughout New Jersey, Delaware, and Pennsylvania. Products Liability covers you in the event you’re held liable for a loss to personal property, business property, injury or death as result of your products. These products may be clothes, toys, tools, building materials, electronic devices or even pet food or supplies, just to name a few.

There are three ways that a property liability issue can arise:

  • A flaw in the warning label or instructions: if the customer is not made aware of the danger of a particular product, or if the customer lacks the proper documentation to use a product safely, there is a flaw in the warning label or instructions.
  • A manufacturing flaw: this includes any type of fault that occurs during the production or manufacturing of a product whose design is otherwise without flaw.
  • A design flaw: This includes any type of fault that is inherent to the design of a product. This can often be the most devastating type of flaw to a business because it affects every single unit of a product that a business has created.

If your business were to face a lawsuit as the result of one of the above types of flaws, your Products Liability policy would provide your legal defense, as well as pay any settlement or judgment that your business would otherwise be required to pay. What’s more, we offer Product Recall Expense coverage, which includes the cost to replace the recalled productconsequential loss of profits incurred by your direct customers as a result of the product recall; and good faith advertising, which pays for the costs to regain customer approval and confidence in your product.

Getting your business on track when product liability strikes.

Let A.D. Martin help you determine if a product liability insurance policy is right for your business and decide how much coverage you need. We have the experience and expertise to help you make an informed decision and better protect your business.