Product Liability Insurance PolicyProduct Liability Insurance Policy

Product Liability Insurance
Policy

  • Introduction
  • What’s covered?
  • Why choose HDFC ERGO?

Introduction

As a manufacturer supplying products, you are always susceptible to the possibility that your product could cause damage to a third party – either property or a person. A small defect could open you up to massive claims.

In such a case, HDFC ERGO’s product Liability Insurance is vitally important for product manufacturers. The policy not only protects your organisation from claims but also covers legal costs associated with defending these claims against your organization.

 

What's Covered?

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The policy covers all sums (including defense costs) which the insured becomes legally liable to pay as damages as a consequence of: Read More...

What's not covered?

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The policy does not cover any Liability for product recall, product guarantee, pure financial loss such as loss of goodwill or loss of market. The policy also does not pay for the cost incurred for repairing or reconditioning or modifying the defective part of the product.

Extensions

 
  • Global extension: Policy can be extended to cover Liability arising out of judgements or settlements made in countries anywhere in the world.
  • Limited vendor’s Liability extension: Limited vendor’s Liability means Liability arising out of sale and distribution of named insured products by vendors with original warranties and instructions of use of the product specified by the manufacturers.

How much product Liability insurance do you need?

The amount of coverage your business needs depends on:

  • Perceived risk from a product: You should first consider the amount of risk associated with your product. For example, a heavy machinery manufacturer is at a greater risk of being sued than a manufacturer of linens and would therefore need more Liability insurance.
  • Jurisdiction/Country of exports: If you export to countries across borders with a history of awarding high damage amounts to plaintiffs, you will typically need to have product Liability insurance with higher coverage limits.

Premium

Cost of insurance

  • This depends on the type of product you deal with. The higher the risk your product represents, the more expensive your premiums will be. Premiums also depend on the total turnover, countries you export to, coverage limits, policy extensions and deductibles.
  • In addition, you can reduce your insurance costs by reducing your risks or by instituting certain quality control procedures at your company. Identifying, eliminating and mitigating the risks can help protect you against future losses and can also lower your premiums.

Excess

The policy is Subject to a compulsory excess of 0.25% of the AOA limit, Subject to a maximum of Rs.1,50,000 and minimum of Rs. 1,500. Opting for a higher excess on a voluntary basis qualifies you for a discount in the premium payable.

Why HDFC ERGO?

Secured Over 1 Crore+ Smiles!

Trust redefines relations at HDFC ERGO. We consistently strive to make insurance easier, more affordable and more dependable. Here promises are kept, claims are fulfilled and lives are nurtured with utmost commitment.
Why HDFC ERGO?

All the support you need 24x7

We understand that in times of distress, instant help is the need of the hour. Our In-house claims team provides round the clock support to ensure hassle-free claim experience. We ensure to be your constant support system in times of need.
Why HDFC ERGO?

Catering customer needs

Since, last 16 years, we have been catering to endless customer requirements endlessly. By providing wide range of plans and add on covers for every portfolio.
Why HDFC ERGO?

Transparency at its best

HDFC ERGO General Insurance claims are settled with utmost transparency and ease.
Why HDFC ERGO?

Awards

We have received ICAI Award of the Year for excellence in financial reporting FY:18-19
Why HDFC ERGO?

Secured Over 1 Crore+ Smiles

Trust redefines relations at HDFC ERGO. We consistently strive to make insurance easier, more affordable and more dependable. Here promises are kept, claims are fulfilled and lives are nurtured with utmost commitment.

All the support you need-24x7

We understand that in times of distress, instant help is the need of the hour. Our In-house claims team provides round the clock support to ensure hassle-free claim experience. We ensure to be your constant support system in times of need.

Catering customer needs

Since, last 16 years, we have been catering to endless customer requirements endlessly. By providing wide range of plans and add on covers for every portfolio.

Transparency at its best

HDFC ERGO General Insurance claims are settled with utmost transparency and ease.

Awards

We have received ICAI Award of the Year for excellence in financial reporting FY:18-19
Awards & Recognition
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