Why the producers or the sellers need to buy Product Liability Insurance?

2017-08-28 01:04慧择网

As for a producer or a seller engaging in export trade, the risks of product liability will affect
1. The producer will face a big amount of indemnity and lawsuit because of the accident caused by the frequent carelessness and misuse of the users.
2. They will pay a big sum of money if the court makes an unfavorable expensive judgment. This burden of extra money undoubtedly will affect the future manufacture’s management negatively even disastrously.
3. When a claim case is reported by media, it possibly leads to a chain reaction and more claims will be arisen.
4. The reputation of the export products will be damaged.
5. The developing prospect of the product in this market will be hindered.

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#Which factors are linked up with the risks of product liability?

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