Longmont, CO Product Liability Insurance
If you are involved in the design, production, distribution or sale of a product, even if the manufacturing is subcontracted, then you need product liability insurance. Steve Longenecker and his team at the DC Insurers Mountain: Longmont specialize in all types of product liability insurance. Product liability insurance covers suits claiming property loss, bodily injury or even death due to the insured’s product.
Three Types of Claims Covered by Product Liability Insurance
- Manufacturing Defects– The defect in these types of cases occurs during production of the injury-causing product. Since the error happens as the product is being made, only some of the products would be flawed.
- Design Defects– The danger in this type of product liability claim is due to an inherent flaw in the design. It affects the entire line of products versus a defect in just a few products made during manufacturing.
- Marketing Defects– If damage is caused due to inadequate warnings regarding possible dangers or improper instructions for proper use of a product, then a failure-to-warn claim would be filed.
The chain of product liability begins with the parts supplier, progresses to the assembling manufacturer, continues with the wholesaler and ends with retail store owners. If a product is defective, everyone involved in creating and selling the flawed product is liable for damages. According to Cornell University Law School, “a defendant is liable when it is shown that the product is defective. It is irrelevant whether the manufacturer or supplier exercised great care; if there is a defect in the product that causes harm, he or she will be liable for it.” Product liability insurance typically covers damages, legal defense fees and settlement charges even when the insured is found negligent or liable.
Since no product liability law exists at the federal level, it is important to hire a local insurer that is knowledgeable about Colorado’s statutory provisions.
We take the time to design a custom policy based on your specific risk factors including:
- the purpose of your product and what it is composed of
- who will use the product and for what length of time
- how many products will be made
- the clarity of instructions, guarantees and/or associated warranties
The insurance agents at DC Insurers Mountain: Longmont know how to protect their local clients from product liability claims due to design, manufacturing or marketing defects- call us today for an individualized quote.