09 Feb Product Liability – Can You Afford to Face a Lawsuit Without California Business Insurance?
A California business insurance policy typically includes a multitude of coverage, such as general liability, property damage, and theft. A commonly overlooked need can be product liability insurance. This coverage comes in handy if it is ever found out that the product you sell was responsible for the accidental injury or death of an individual.
As reported by Bloomberg, in June 2008, Taser International Inc., the world’s largest producer of stun guns, lost a product liability claim lawsuit when the jury decided it was liable to pay $6.2 million in damages to the family of Robert Heston.
What were the circumstances of the claim? When Robert Heston arrived at his parents’ house acting strangely, his father decided to call 911. When police arrived on the scene, they decided it was necessary to subdue Heston. To do so, they shot him repeatedly with their Taser stun guns until he stopped moving. This caused him to go into cardiac arrest. He was unable to be revived.
The claim came against Taser instead of the police department because the family claimed they did not provide adequate warning to the police that the stun guns produced an electric shock that could cause cardiac arrest.
Consider the products you offer to the public. Could any of them cause death or injury? Even if you are not sure, it is best to prepare for the worst and add product liability coverage into your California business insurance plan. This way, even if something should happen, you can have someone to turn to for help.