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Product liability

Coverage for harm caused by products you make, sell, or distribute.

Educational only. PolicyPlain does not sell insurance and does not provide insurance, legal, or financial advice. Coverage rules and prices vary by state and insurer. Read our full disclaimer.

Plain definition

Product liability is part of many general liability programs, covering bodily injury or property damage arising from your products after they leave your control. Manufacturers, distributors, and retailers can be pulled into suits for design defects, manufacturing flaws, or inadequate warnings.

Why it matters

One defective batch can trigger recalls, lawsuits, and regulatory action that dwarf a year of profit without adequate limits and legal defense.

Example

A candle you sold causes a house fire allegedly due to a wick defect. Product liability portion of GL may defend and pay covered damages.

Common misunderstanding

Product liability does not cover redoing a bad batch for quality alone—there must be covered injury or damage triggers.

Policy language always controls. This is educational content, not advice. See our disclaimer.