How to Claim Product Liability Insurance

Managing a product liability claim can be challenging, but understanding how to file under your insurance policy is key to resolving it efficiently. The process involves more than submitting paperwork such as timing, documentation, and clarity matters.

Even if you are a manufacturer, distributor, or retailer, a clear understanding of the claims process helps you protect your business from financial loss, legal exposure, and reputational risk. With the right approach and expert support, your business can navigate the situation with confidence and control.

Azure Risk is here to guide you through every step so you can move forward with certainty.

Step 1: Verify the Incident

The first step in filing a product liability insurance claim is confirming that your policy covers the incident. This insurance typically covers design, manufacturing, and marketing defects, including failure to warn consumers of potential risks.

Verify the nature of the claim, including whether it involves:

Injury or property damage
A defect in design or manufacturing
Inadequate labelling or warnings

If the claim involves one of these aspects, you are likely eligible for compensation under your policy.

Step 2: Notify Your Insurance Provider

Once you have verified the incident, promptly notify your insurance provider. Be prepared to provide the following details, such as:

The nature of the incident and the claimant's information
Evidence of the defect or failure (photos, reports, tests, etc.)
A written statement detailing the circumstances surrounding the event

Timely notification is key to assuring your claim is processed quickly and efficiently. Many insurers require that claims be filed within a specific timeframe after the incident, so do not delay.

Step 3: Investigating the Claim

Once your insurer receives your claim, it will investigate the details. This may involve:

Assessing damages to the affected parties
Reviewing witness testimonies, including medical or expert reports
Examining the defect or failure in question

This investigation process can take some time, depending on the complexity of the claim. Your product liability insurance provider will keep you informed as the claim progresses.

Step 4: Settlement or Litigation

After the investigation, the insurer may offer a settlement if the claim is valid. Settlements can help avoid a lengthy and expensive trial. However, if the case is contested or involves large sums of money, the insurer may take the matter to court.

It is important to note that product liability insurance can cover all these things:

Legal fees for defending against claims
Settlement amounts or court-awarded damages

Medical expenses and other related costs

Step 5: Final Resolution

Once the claim has been resolved, your insurer will either pay the settlement or the court judgment. If the insurer determines that your business was at fault, they may help you mitigate future risks by adjusting your coverage or suggesting preventive measures.

Your Insurance Expert

We deliver tailored advice to fit our clients’ requirements and ensure they understand the options available to them. Contact us for a free personalized assessment of your policy needs.

Why Choose Us?

We at Azure Risk combine deep industry expertise with a commitment to understanding your business. Partner with us to protect your operations and reputation with a policy that evolves alongside your company’s ambitions.

Get in touch today to learn how our Freight Forwarders Liability Insurance can safeguard your business, your cargo, and your peace of mind.

Minimise Risks With Azure Risk

Filing a product liability insurance claim can be stressful, but you are not alone with Azure Risk. Our experts guide you through the process, ensuring you have the coverage you need and that your claims are processed swiftly.