It’s a fact of life: accidents happen.Of course, risks will always be associated with creating, manufacturing, assembling, distributing, or selling products, but managing those risks is a key part of your business success.Product liability insurance can protect your business from potential legal and financial consequences arising from product-related claims.

Product Liability Insurance In a Nutshell Product liability insurance is a specialized form of coverage designed to protect your business from covered legal claims and financial losses resulting from defective products—or even from their misuse.For covered claims, coverage can include the business’s legal defense costs, settlements, and judgments in cases where a product causes bodily injury or property damage.Without such coverage, you could wind up writing checks for not only property or medical costs but also legal fees if one of your product’s consumers sues you.

For example, if your business manufactures automatic garage door openers and a defect in the design of the product causes it to fail, a customer could sue you for the costs of damage to their vehicle or a broken bone they might have suffered as a result of the opener failure.Product liability insurance is an important protection for any business that creates, manufactures, distributes, or sells products.These types of businesses might include: What’s Covered and What’s Not Product liability insurance may provide coverage for a range of scenarios in which a business is potentially held legally liable for losses or injuries a consumer suffers.

These can include: Choosing the Right Coverage When selecting your product liability coverage, keep the following in mind: Depending on the type of products you offer, your potential risk exposure, and the size of your business, you may require up to several million dollars in product liability coverage.Working with a knowledgeable agent is a great start to protecting your business, so talk to one of our local insurance agents today, and we’ll help you get the coverage your business needs.ERIE insurance products and services are provided by one or more of the following insurers: Erie Insurance Exchange, Erie Insurance Company, Erie Insurance Property & Casualty Company, Flagship City Insurance Company and Erie Family Life Insurance Company (home offices: Erie, Pennsylvania) or Erie Insurance Company of New York (home office: Rochester, New York).  The companies within the Erie Insurance Group are not licensed to operate in all states.

Refer to the company licensure and states of operation information.The insurance products and rates, if applicable, described in this blog are in effect as of January 2024 and may be changed at any time.  Insurance products are subject to terms, conditions and exclusions not described in this blog.The policy contains the specific details of the coverages, terms, conditions and exclusions.  The insurance products and services described in this blog are not offered in all states.  ERIE life insurance and annuity products are not available in New York.  ERIE Medicare supplement products are not available in the District of Columbia or New York.  ERIE long term care products are not available in the District of Columbia and New York.  Eligibility will be determined at the time of application based upon applicable underwriting guidelines and rules in effect at that time.

Your ERIE agent can offer you practical guidance and answer questions you may have before you buy.A better insurance experience starts with ERIE.Haven’t heard of us? Erie Insurance started with humble beginnings in 1925 with a mission to emphasize customer service above all else.

Though we’ve grown to reach the Fortune 500 list, we still haven’t lost the human touch.Contact Drake Insurance today to experience the ERIE difference for yourself.