How Much Product Liability Insurance Do I Need?
Posted February 4th, 2021 by Anthony Carbone.
Categories: Product Liability.
Product Liability Insurance is a form of business insurance that can cater to your lawsuit claims’ cost in case you get injured on someone else’s property or are affected by a product they have sold. According to the Consumer Protection Act, you might be liable even if you aren’t the actual manufacturer, i.e., distributors, retailers, and suppliers.
Nevertheless, the party which is held liable varies as per the particulars of each individual case. So, if the injury resulted from negligence, the blame will be put on the negligent party. Do you need help determining how much product liability insurance you need? Reach out to the Law Offices of Anthony Carbone and schedule a consultation with the North Bergen Personal Injury Attorney.
What’s Covered By Product Liability Insurance?
Product liability insurance covers all the legal fees and compensation claims when someone sues you because of an injury sustained on your property or some damage caused by one of the products you’ve sold them.
In the case of a damage or injury claim made against you, the product liability insurance will cover both the legal fees and compensation payout, up to your policy’s limit. The available amount for some business goes as high as 10 million dollars.
If a particular product damages something or injures someone, the greatest burden of responsibility is left with the manufacturer. Nonetheless, even if you aren’t the manufacturer, but the product you’ve sold bears your businesses’ name, or the actual manufacturer cannot be traced, you are also liable.
Compensation payouts take into account things like:
- Replacement or repair of goods in the case of property damage.
- Loss of income and all medical-related costs because of injury.
- Emotional, physical, or psychological distress.
In most cases, these costs can be accrued to a significant sum. The product liability insurance will cover these costs so that your business is not crippled in the face of a compensation claim.
How Much Product Liability Insurance Do I Need?
It is up to you to decide the value of the product liability insurance you need, according to the number of products you sell and the estimation of your compensation claims. Many insurance companies provide between 1-10 Million dollars that usually comprises both product liability cover and public liability.
When deciding on how much product liability insurance your organization requires, you should factor in the compensation claim’s possible size, suppose someone was hurt or their property damaged by your products. It’s also an excellent idea to review your client’s contracts to check if a certain level of public or product liability insurance is expected.
That said, one of Mr. Carbone’s most crucial tasks as your personal injury lawyer is investigating your case. Because the accident’s actual cause is mainly not apparent, it takes an experienced investigator to discover it. Move quickly and speak to our New Jersey personal injury lawyer for a more proper investigation. To schedule a consultation today, call the Law Offices of Anthony Carbone to access the services of an experienced personal injury lawyer.
