The manufacturing industry includes various trades with unique specialties, skills, and risks. No matter what line of manufacturing you’re in, or the scale of your company, a business insurance policy designed specifically to cover your business and the items it manufactures is essential.
What is Product Liability?
Product liability is a legal concept that holds manufacturers liable for harm caused by defective products sold in the marketplace. Product liability can be determined on three bases: negligence, breach of warranty, and strict liability.
Negligence is the failure to give consumers appropriate warning of the potential danger of using a manufactured product. A breach of warranty occurs when a manufacturer fails to fulfill the terms of a claim concerning the quality of a product. Lastly, strict liability is where a manufacturer can be held liable for a defective product even if the conditions of negligence or breach of warranty do not apply. In most cases, negligent action is required for liability to apply.
However, in some cases, liability can apply even though the defendant did not engage in negligent or intentionally harmful behavior. Dismissing the possibility of negligence can set a business up for failure. Making sure your company is covered by having a third party manage those common business disruptions allows you to focus on managing your business.
How BBG Can Help
Manufacturers can make mistakes when mass producing products, but insurance can provide comfort to owners and managers by assuring protection from risk and liability. BBG offers Errors and Omissions insurance, or E&O insurance. E&O insurance is a professional liability policy which protects companies and staff against claims derived from inadequate work and/or negligence. We also provide general liability insurance that covers bodily injury, property damage, advertising injury, and reputational harm claims against your business. Liability claims are common and can be financially crippling to companies without insurance.
Benefits fall into the category of top five costs for businesses. It’s important to keep costs under control while providing appropriate coverage and security for employees. Show your employees that you’re not only interested in protecting them, but also their overall health and future. BBG offers a wide array of worksite benefits and we make open enrollment in benefits easy for your team members with employee education programs.
Insurance can be tricky. Our longstanding clientele entrust us with their needs because protecting your business is our top priority. BBG’s knowledgeable business insurance consultants can advise companies on which specific coverage policies are needed to effectively mitigate negative impacts that could arise as the result of unwanted occurrences. Contact the insurance experts at BBG today.