WEDNESDAY, APRIL 13, 2016
 Whether you produce, manufacture or sell a product, you could be held liable if it is defective and causes injury or loss to another person. Liability protection is very important for many businesses, but it is also one of the most complex areas of business insurance. Here are a few common questions regarding liability coverage.
Who Is Liable?
One of the first steps to take when a product hurts a customer or client is to gather facts. Liability stems from negligence, which can often be very hard to prove. In short, the goal of your insurance company will be to determine who is liable for the losses suffered. In some cases, it is the company. In others, it may be the fault of the manufacturer or the consumer. Once you file a report or claim with your business insurance provider, the agency will work to establish liability.
Keeping with that theme, remember this. If a customer brings in a product that is broken or one that caused them some type of harm, never admit that you did anything wrong. Never admit that your employees made a mistake. Also, try to get the consumer to give the item to you so that you can provide it to your insurance carrier. It's best to gather as much information as possible, then allow the insurance company to handle the determination of liability, negligence and compensation.
What Can You Do To Minimize Risks?
Within your business operations, take the steps necessary to prevent mistakes like these from occurring. Ensure each employee receives proper training. Install backup measures to check the quality or safety of products. And work to confirm that your customers know how to properly use the products you sell.
Business insurance is there to protect against these types of liability risks. It takes a few extra steps to protect yourself against product liability. But every company needs to do that to ensure the business remains safe.
Protect your company from everyday risks. Call All About Insurance at (817) 589-0006 for more information on Fort Worth TX business insurance.
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