Candlemakers should consider obtaining product liability insurance.

1. Candlemakers should consider obtaining product liability insurance. Distributors play an important role in the supply chain, connecting manufacturers with retailers and ensuring that products arrive safely and on time. But with this increased responsibility comes increased risk. That’s why you need to understand how product liability insurance can help protect your business from potential damages or losses. In this article, we'll explore who needs product liability insurance for distributors and what kind of coverage is available. The Basics of Product Liability Insurance Why Do I Need Product Liability Insurance? How Much Product Liability Insurance Should I Carry? What Is Covered Under Product Liability Insurance? What Is Not Covered Under Product Liability Insurance? The Basics of Product Liability Insurance Product liability insurance is vital for any business that manufactures, sells, or distributes products. If a product causes injury or damage, the business can be held liable. Product liability insurance can help protect the business from financial losses related to claims and lawsuits. There are three types of product liability coverage: bodily injury, property damage, and personal and advertising injury. Bodily injury coverage protects the business from claims arising from injuries to people. Property damage coverage protects the business from claims arising from damage to property. Personal and advertising injury coverage protects the business from claims arising from personal injuries or false advertising. Product liability insurance can help cover the costs of defending against a lawsuit, as well as any damages that may be awarded if the business is found liable. It is important to have adequate coverage, as the costs of a product liability claim can be very high.

2. Why Do I Need Product Liability Insurance? If you are a distributor, you need product liability insurance to protect yourself from claims that may arise from the products you sell. Product liability insurance can help cover your legal expenses if you are sued for damages caused by a defective product. Product liability insurance is important for distributors because it can help cover the cost of defending against a lawsuit, as well as any damages that may be awarded to the plaintiff. If you do not have product liability insurance and are sued, you may have to pay out of pocket for your legal expenses, which could be significant. Even if you are careful about the products you sell, there is always a risk that one of them could be defective and cause injury or damage. If this happens and you are sued, product liability insurance can help protect your business. How Much Product Liability Insurance Should I Carry? When it comes to product liability insurance, there is no one-size-fits-all answer. The amount of coverage you need will depend on a variety of factors, including the type of products you sell, the size of your business, and the amount of risk you are willing to take on. To determine how much product liability insurance you should carry, start by evaluating the risks associated with your products. Consider the worst- case scenario and ask yourself how much it would cost to repair or replace the damaged product, as well as any other costs that might be associated with a recall or lawsuit. Once you have an idea of the potential costs, you can work with your insurance agent to find a policy that provides adequate coverage. In general, it is a good idea to carry at least $1 million in product liability insurance. However, if you sell high-risk products or operate in a highly

3. litigious industry, you may need more coverage. Ultimately, the best way to determine how much product liability insurance you need is to work with an experienced agent who can help assess your risks and find a policy that meets your needs. What Is Covered Under Product Liability Insurance? Product liability insurance for distributors covers claims arising from the distribution of products that cause bodily injury or property damage. It can also provide coverage for legal defense costs and settlements. This type of insurance is important for businesses that distribute products, because it can help protect them from financial ruin if they are sued for damages caused by their products. What Is Not Covered Under Product Liability Insurance? Product liability insurance does not cover damages caused by: -Defective products that are not covered under the terms of the policy -Intentional damage or injury caused by the product -Damage or injury caused by normal wear and tear -Damage or injury caused by misuse or abuse of the product -Products that are recalled by the manufacturer Conclusion Product liability insurance for distributors is an important form of coverage that can help protect your business from financial losses in the event of a claim arising out of a product you've distributed. While it's not mandatory for all businesses, those who distribute products should strongly consider purchasing this type of policy to ensure they have adequate protection against potential claims. If you're unsure if or how much product liability insurance is right for your business, contact an experienced agent today to discuss your options and get the protection you need.