Product liability Takaful is available to the manufacturers, wholesalers, repairers and retailers of various products. A defective product is defined as any physical item which is sold or given away, including medical, leisure, automotive, industrial, health and fitness products, blood, pets, drugs, foods, and even commercial jets, that is found to be unreasonably riskier for its intended use. Any party involved in the production or distribution chain of a product can be held liable in a civil lawsuit when its users suffer injuries caused by a defective product.
Product liability Takaful protects the parties involved in the production or distribution chain of a product. It is important for a company to purchase product liability Takaful in order to protect their financial resources in the event that a personal injury product liability lawsuit is filed against them. Anytime a product user is injured while using a product for its intended use, a lawsuit can be filed against anyone who took part in making or distributing the defective product.
Product liability Takaful is vital to the protection of a business’s financial interests since it provides peace of mind to entrepreneurs to produce more and transfer the anxiety of such enormous liability on us.
Coverages:
1. All sums which the Participant becomes legally liable to pay as compensation in respect of:
a. accidental bodily injury to or illness of any person,
b. accidental loss of or damage to property caused by any goods sold, supplied, repaired, altered, treated or serviced by the Participant in connection with the business carried on by the Participant and occurring during the period of Policy and within the territorial limits stated in the Schedule of the policy.
2. All costs and expenses of litigation
a. recovered by any claimant against the Participant,
b. incurred with the written consent of the Company in respect of any claim against the Participant for compensation to which the indemnity expressed in this Policy applies.