Faulty products can be a source of liability to the manufacturer or seller. This Policy covers legal liability of the insured towards damages to Third party arising from faulty products manufactured or sold by the insured resulting in liability for bodily injury, accidental death or loss or damage to property. The limit of indemnity also includes legal costs and expenses.

Important exclusions to the cover are Product Warranty/ guarantee, Product efficiency, Product recall, fines and penalties etc. It is usual to exclude North American jurisdiction, but the same can be covered in selected cases for an additional premium.