The ICICI Lombard Product Liability is one of the business products of the company. To run a business successfully it is very important to have a proper risk management. The comprehensive products line of the company aims at business of all types and these are particularly designed to match the business and the personal needs and render a perfect protection to them.
According to the company security and dependability of products are vital business concern to consumers, manufacturers & sellers. Defective products are hazardous for both the consumers’ health and property. The manufacturer or the seller of defective products could be held liable for such damages and thus causing financial loses.
The ICICI Lombard Product Liability saves the companies and protects them from such exposures of risk. It gives a financial assistance to the policyholders in such crucial situations.
The ICICI Lombard Product Liability provides certain scope of covers. Legal responsibility of the Insured towards reparation to the third party originating due to defective products made up and sold by the insured, charged with respect to:
• Loss or damage to the property
• Accidental death
• Bodily injury or disease
The sum insured under this policy depends on the exposure like sales territories, end users, nature of products etc., but the proposer should fix limits of insurance under this policy.
The limits can be:
• Any One Year (AOY)
• Any One Accident (AOA)
AOY and AOA can be in ratio of 1:1, 1:2, and 1:3. The ratio can be maximum of 1:4. It is not allowed to issue the policy without any liability limit.
The premium charges of ICICI Lombard Product Liability are depended on:
• Sales territories
• Risk group (products to be covered)
• Turnover of products (for proposed period of insurance)
• Claims experience
• Quality control system & R&D strength of the insured
• Limits of indemnity selected
• Ratio of limits