No business owner who never know when a product might fail. However, a good businessperson understands that the failure of the product, remember, and defects occur, and take preventive measures necessary to protect the business.
Usually, because of increased demand for business products, the ability to guarantee the quality of each single product that you sell to your customers declined along with it. You can also protect your business with Online Sellers Insurance.
You need to be covered by your standard, residential home insurance policy including public liability along with other policies that cover your stock.
For example, while you may be able to check every piece of clothing when you first started your baby’s clothes, as your business grows and you start outsourcing manufacturing and production, you will definitely experience an inability to guarantee any one item alone.
In this example, may be the key to one of the thousands of items you are not properly secured, thus posing a choking hazard to children.
Of course, you can perform quality assurance; however, there is no way to absolutely guarantee that every single product that comes off the assembly line will be free of errors, especially when you try to scale your business.
What is Product Liability Insurance?
Product Liability Insurance is a form of general insurance is meant to protect your business from obtaining legal and financial risk due to the quality of your business sells goods or products.
Product Liability Insurance covers legal fees and court defending claims of personal injury, property damage or financial loss caused by your product.
Product Liability Insurance is a way to protect your business from financial losses due to legal fees and court brought by a potential suit by one of your customers.