What Is Product Liability Insurance?
Businesses that sell or manufacture products are often exposed to possible risks long after their products are in others’ hands. Should a product cause substantial injury or damage, these businesses might be held financially liable and required to compensate the affected party. Product liability insurance policies help shield Vermont businesses from some of these potential risks.
Product liability insurance policies are a specialized form of commercial liability coverage. As a liability coverage, most policies help pay legal costs and settlements associated with covered claims. Usually, policies will begin paying legal costs even before responsibility is ultimately determined.
What Vermont Businesses Need Product Liability Coverage?
Many Vermont businesses can benefit from having product liability coverage in place. Broadly speaking, most businesses that manufacture, assemble, deliver, wholesale or retail products ought to consider purchasing a policy.
Businesses that are unsure whether this coverage makes sense for their situation can speak with an insurance agent who specializes in product liability. A knowledgeable agent will be able to make informed recommendations based on a business’ unique situation.