Do you need products liability as well as public liability?

What is the difference between public and products liability?

Public liability covers harm from your business activities. Products liability covers harm from a defect in a product you sell, supply or make. Orient’s public liability policy excludes liability from products sold or supplied, and can be extended to cover property damage, death or injury caused by defects in them.¹

United Fidelity gives the example of a manufacturer covering itself in case a product is faulty.²

How do UAE insurers sell it?

In three ways: as an extension, as a combined policy, or as an option on a wider policy.¹³⁴⁵⁶

What does products cover pay for?

Injury or damage to third parties caused by goods connected with your business. Al Sagr’s comprehensive general liability policy, which covers public, product and pollution liability, adds to its general third party cover an indemnity for claims of bodily injury or property damage caused by any goods you sell, supply, install, erect, repair, alter or treat, up to the limit of liability. It pays defence costs incurred with its written consent.⁷

Some insurers ask separate questions for products. Dubai National Insurance publishes a product liability proposal form alongside its public liability proposal form.⁸

Does a café or restaurant need products liability?

Check the food extension first. Tokio Marine’s public liability cover includes liability from food and drink served at your premises.⁹ GIG Gulf’s Business Secure wording covers food and drink sold or supplied at or from your premises.⁶

If you sell packaged goods, deliver food, or make products that leave your premises, ask the insurer in writing whether they fall under the food extension or need products liability.