Suggested
Liability Insurance
Safeguard your organization with product liability protection
Coverage Highlights
This policy safeguards businesses against claims related to products they manufacture or sellCoverage for Legal Liability
Provides coverage for legal liability arising from accidental bodily injury or property damage caused by the insured's products
Claimant's Costs and Defense Costs
Covers costs for investigating, defending, or settling Claims, including representation
Indemnity Limit
The policy includes a limit of indemnity, which is the maximum amount the insurer will pay for claims, which includes Damages and Defense costs
Accidental Bodily Injury and Property Damage
Covers claims arising from accidental bodily injury or property damage caused by the insured's products to a third party
Business Operations
The coverage applies to claims arising solely in the course of the insured's business operations
Inclusions
What's coveredLegal Liability
Covers legal liability for third-party accidental bodily injury or property damage caused by your products
Claimant's and Defense Costs
Includes claimant's costs, fees, and defense expenses
Business Operations
Applies to claims arising in the course of your business operations
Note
Please read policy wording for detailed explanation..
Key Exclusions
What’s not covered?Defective Product Repair
Excludes repair, reconditioning, modification, or replacement of defective products
Product Recall
Excludes the recall of any product or its parts
Aircraft Products
Excludes products known to be for aircraft structure, machinery, or control
Product Performance Failure
Excludes failure of products to fulfill their intended purpose
Product Guarantee
Excludes any product guarantee
Assumed Risk
Excludes agreed risk assumptions unless liability exists without the agreement
Non-Compliance Accident
Excludes accidents from deliberate, willful, or intentional statutory non-compliance
Employment Bodily Injury
Excludes bodily injury to employees or subcontractors during employment
Consequential Loss
Excludes consequential losses like profit, opportunity, business interruption, market loss, or goodwill
Intellectual Property Infringement
Excludes infringement of plans, copyrights, patents, trade names, trademarks, or registered designs
Defamation and Personal Injury
Excludes libel, slander, false arrest, wrongful eviction, wrongful detention, defamation, and resulting mental injury
No-Fault Liability
Excludes liability under the Public Liability Insurance Act 1991 or any other no-fault liability law
Management Neglect
Excludes claims from management's deliberate, conscious, or intentional neglect to prevent bodily injury or property damage
Pre-Insurance Period Claim
Excludes claims made, threatened, or intimated against the Insured before the insurance period
Note
Please read policy wording for detailed exclusion list
Product Liability Insurance (PLI) protects businesses against claims related to the safety or quality of the products they sell or manufacture. This insurance covers legal fees, damages, and compensation costs that arise from injuries or property damage caused by defective products. Whether your business manufactures goods or resells them, PLI is crucial in safeguarding against potential financial losses from product-related lawsuits.
In today’s litigious environment, product defects, malfunctions, or misinformation can result in costly claims. A solid product liability insurance policy provides peace of mind, ensuring your business can handle the unexpected and continue operating smoothly. This cover can be tailored to meet the specific risks associated with your business, offering protection across various sectors, including retail, manufacturing, and more.
Get instant access to your policy details with a single click.
Product Liability Insurance (PLI) is designed to protect businesses from the financial implications of third-party claims related to the safety of the products they manufacture, distribute, or sell. If a product causes injury to a person or damage to property, PLI provides coverage for legal fees, settlements, and compensation claims, ensuring that your business can recover from such unexpected costs.
This insurance covers claims arising from manufacturing defects, faulty designs, and inadequate warnings or instructions. If a product malfunctions and causes harm to a consumer or damages property, the business is responsible for compensating the affected parties. PLI helps protect your business by covering:
PLI is essential for businesses of all sizes, offering security against claims that could otherwise cripple operations. From startups to large manufacturers, having this coverage ensures your business is protected, your reputation is safeguarded, and your financial future remains secure.
In India, where consumer protection laws are rapidly evolving, Product Liability Insurance (PLI) has become an essential tool for businesses. Whether you manufacture, distribute, or sell products, the risk of facing a product-related claim is high. The country’s stringent consumer protection laws, along with increasing consumer awareness, make it crucial for businesses to have adequate insurance coverage.
Mobile Self Risk Assessment
PRIME Inspection app helps to evaluate quality of your property (Shop, Office, Plant or Others) having SI upto INR 50 crs. It is simple to navigate having multiple Q & A designed for client
Instant Generation of Risk Report
It helps Provide Risk Recommendations, Risk Quality Rating (RQR), Peer Comparison & GAP Analysis for the client
Step-by-Step Guide
How to Buy
0
Visit the Bajaj Allianz General Insurance website
1
Fill in the lead generation form with accurate details
2
Get quote, make payment and receive the policy documents
How to Renew
0
Contact the Policy Issuing Office
1
Review expiring policy and share necessary details
2
Receive renewal quote
3
Make renewal payment
4
Receive the renewed policy documents via email
How to Claim
0
Contact us through our customer service touchpoints
1
Submit the claim form along with the necessary documents
2
Provide details of the incident and any supporting evidence
3
Cooperate with the claims investigation process
4
Receive the claim settlement as per the policy terms
Know More
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For any further queries, please reach out to us
1
Toll Free : For Sales :1800-209-0144
2
Email ID: bagichelp@bajajallianz.co.in
Bajaj Allianz General Insurance Company offers a comprehensive Product Liability Insurance policy designed to safeguard your business from unexpected product-related risks. With an extensive range of coverage options, the policy ensures that your business remains protected against third-party claims for bodily injury, property damage and other product defects. Whether you manufacture goods, distribute, or sell them, the policy covers a wide array of industries, including retail, manufacturing, electronics, and more.
Protect your business and reputation with Bajaj Allianz’s Product Liability Insurance, providing you with the security you need to thrive in today’s competitive market.
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Bajaj Allianz’s Erection All Risks Insurance gave us complete peace of mind during our project. The coverage was comprehensive, and their support was proactive at every step.
Rajesh Mehta
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With Erection All Risks Insurance, we felt secure knowing that our project was well-protected. The policy covered all major risks, and the Bajaj Allianz team was always available for assistance.
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Product Liability Insurance protects businesses from claims related to product defects that cause injury or damage. Whether you manufacture, distribute, or sell products, you could be held legally responsible if something goes wrong. This insurance helps cover legal expenses, medical costs, and compensation claims arising from faulty or unsafe products. It is essential for businesses to safeguard themselves against financial losses resulting from product-related lawsuits, recalls, or third-party damages.
Any business that makes, sells, or distributes products—like manufacturers, retailers, wholesalers, or distributors—should have Product Liability Insurance. It protects against claims if a product causes injury or damage.
Product Liability Insurance typically covers three main areas. First, it includes manufacturing defects, which are flaws that occur during the production process and make the product unsafe to use. Second, it covers design defects, where the product’s inherent design is dangerous, even if manufactured correctly. Lastly, it includes marketing defects, such as improper labeling, lack of safety warnings, or inadequate instructions that can lead to misuse and potential harm.
Common exclusions include, Intentional wrongdoing or fraud, Contractual liability, Product recalls, Wear and tear or gradual deterioration.
The cost of Product Liability Insurance varies based on several factors, including the type of products you sell, the size of your business, and your claim history. On average, a small business can expect to pay between $400 and $1,200 per year for coverage. Businesses dealing with high-risk products may face higher premiums.
Without Product Liability Insurance, your business faces significant financial risk. A single product-related lawsuit can lead to high legal fees and compensation costs, which could seriously impact or even shut down your business. This insurance provides essential protection against such unexpected liabilities.
Product Liability Insurance (PLI) is essential for businesses involved in manufacturing, distributing, or selling products. This includes manufacturers, retailers, wholesalers, contractors, food and beverage companies, cosmetic and pharmaceutical businesses and importers/exporters, all of whom face potential risks from defective products. General liability insurance can also help businesses protect against broader liabilities beyond just product-related claims. For businesses operating in sectors like shipping, marine liability insurance may be an additional consideration for handling risks associated with waterborne goods.
Product Liability Insurance is not legally mandatory in India. However, businesses dealing with products are strongly advised to have this coverage to protect against the financial and legal risks arising from product defects. For broader protection, companies may also consider general liability insurance coverage, which addresses a variety of liability risks, or even professional liability insurance for service-based industries.
Product Liability Insurance typically excludes claims arising from:
Additionally, liability insurance coverage may not apply to claims outside the scope of the agreed policy, such as public liability and professional indemnity insurance exclusions.
Yes, you can customise your Product Liability Insurance policy with add-ons like:
These add-ons can tailor your policy to meet your business's specific needs. For companies with a global presence, marine liability insurance can be an important add-on to cover overseas shipping risks, while businesses in the service sector may need professional liability insurance for added protection.
The premium for Product Liability Insurance is typically calculated based on:
Higher-risk products or sectors may attract higher premiums. If you're looking for broader coverage, you may also want to explore company liability insurance or public liability and professional indemnity insurance policies to ensure comprehensive protection.
The principle of Product Liability holds manufacturers, distributors, and retailers responsible for injuries or damage caused by defective products. It ensures that consumers are protected, and businesses are held accountable for the safety, quality, and performance of the products they sell. General liability insurance and professional liability insurance are both valuable policies for businesses looking to protect against various forms of liability risk in addition to product-related claims.
The amount depends on your business size, industry risks, and contractual obligations. Assess potential lawsuit costs, client expectations, and industry standards. A higher coverage limit protects against costly claims, preventing financial losses.
Yes, professional liability insurance covers errors employees make while performing work duties. If a client sues over financial loss due to an employee’s mistake, the policy covers legal expenses, settlements, and claims. However, intentional wrongdoing or fraudulent actions are typically excluded from coverage.
Standard liability insurance does not cover cyber risks like data breaches or hacking incidents. Businesses handling sensitive customer data need cyber liability insurance. This policy covers legal fees, customer notification costs, regulatory fines, and recovery expenses.
Occurrence-based policies cover claims from incidents during the policy period, even if reported later. Claims-made policies cover only claims reported during the policy’s active term.
Liability insurance specifically covers claims from third parties for injuries, damages, or negligence. Unlike property insurance, which protects assets, or workers’ compensation, which covers employee injuries, liability insurance focuses on legal claims from external individuals or businesses against you.
To file a liability insurance claim, notify your insurer immediately, provide details about the incident, gather evidence such as photos or witness statements, and complete the claim form. The insurer will investigate, assess the damages, and determine coverage eligibility before processing the settlement based on policy terms.
Yes, a liability claim can be denied if the policyholder is found not liable, the incident is excluded from coverage, there’s insufficient evidence, or the claim is fraudulent. Reviewing the policy terms and providing accurate documentation can help avoid unnecessary claim rejections.
A liability claim may increase your insurance premium, as insurers assess risk based on claim history. Multiple claims or high-value payouts can label you as a higher risk, leading to higher renewal costs.
The time to settle a liability insurance claim varies based on its complexity, documentation, and insurer policies.
If your liability claim is denied, review the denial letter and policy terms to understand the reason. You can appeal by providing additional evidence.
You should renew your liability insurance before expiration to avoid coverage gaps. Most insurers send renewal notifications a few days before expiration. Reviewing your policy early allows time for adjustments if needed.
You can find your renewal date on your policy documents, your insurer’s website, or their mobile app. Most insurers also send renewal reminders through email, SMS, or postal mail. If you're still unsure, it's best to contact your insurance provider or agent directly to confirm the renewal details.
Yes, you can switch insurers at renewal if you find a better policy. Compare coverage, premiums, exclusions, and customer service before switching.
Insurers typically require your current policy details, claim history, updated business information, and financial records. Some may request risk assessment reports or compliance documents.
Yes, insurers offer discounts for claim-free records, risk management measures, bundling policies, and long-term loyalty. Some also provide reduced rates for businesses with strong safety protocols or low-risk profiles.
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