Product Liability Insurance for E-Commerce Retailers

Protecting your e-commerce business from accidents, disasters, and potential lawsuits requires certain types of insurance. Online stores face risks specific to their industry, including product liability. 

Like other types of business insurance, product liability coverage isn’t a one-size-fits-all solution for e-commerce businesses. It would help if you had insurance designed to protect your company from specific risks, and the experts at Well Insurance are ready to help you understand your options. 

What Is Product Liability Insurance? 
Product liability coverage can help protect your company from damages if a customer suffers property damage or becomes ill due to using a product you sell in your e-commerce store. 

Product liability insurance may help cover costs related to customer claims, including: 

• Manufacturing defects: Problems with the item that occur during manufacturing. 

• Design defects: Problems with the item’s design may cause injury or illness. 

• Improper warning: Injuries or illness resulting from the company’s failure to provide consumers with warnings about the proper use of the product. 

• Strict liability: A consumer is injured or suffers an illness due to the product, but the business owner isn’t found negligent. 

Product liability insurance doesn’t typically include coverage for product recalls. Your agent can help you get a business endorsement to help cover product recalls if necessary. 

Why Is Product Liability Insurance Important for E-Commerce Retailers? 
As an e-commerce retailer, you sell products directly to consumers. A defect in one of your products could cause damage to someone else’s property, or it could cause injuries. Without product liability insurance, your business could be left to pay for monetary damages out-of-pocket. 

Product liability insurance helps cover: 

How Much Does Product Liability Insurance Cost? 
Your product liability insurance premiums depend on a few factors, including: 

Your independent insurance agent can help match you with an insurer that offers the exact coverage you need for your e-commerce business at a great rate. 

Get The Product Liability Insurance You Need 
An e-commerce store sells products to consumers and could be at risk of product defects that may cause damage to someone else’s property or injure customers. Product liability insurance helps pay those damages, providing essential financial protection for your e-commerce business. 

Contact the e-commerce retail insurance experts at Well Insurance today to learn more about how to insure your business properly.