What it is
Product liability covers bodily injury and property damage caused by a product you make, sell, or increasingly, a system you control: hardware, IoT devices, robotics, drones, and autonomous systems. Software only companies usually handle this inside GL and Tech E&O; physical product companies need it placed deliberately.
What it covers
- Bodily injury and property damage from product defects
- Defence costs for design, manufacturing, and warning claims
- Products and completed operations cover
- Autonomous system incidents at specialist markets, including robotics programmes
What it does not cover
- Pure financial loss to customers (Tech E&O)
- Recalls themselves, unless recall cover is added
- Known defects
- Contractual liability beyond the form
What triggers buying it
- Shipping your first hardware unit
- Deploying robots, drones, or autonomous vehicles
- Selling into retail or enterprise channels that require certificates
- An AI system that controls physical equipment
Who requires it
Retailers, distributors, enterprise customers, and landlords for demos and pilots, all by certificate and contract.
Typical limits
Commonly $1M to $5M, with robotics and autonomy risks priced and limited per placement at specialist markets.
Frequently asked questions
We are software only. Do we need this?
Usually your GL and Tech E&O handle the exposure. The answer changes the moment your software directs physical action, for example robotics, vehicles, medical devices, or industrial controls. That is the segment specialist programmes like Koop were built for.
Talk through your stack before you sign the next contract
Send us the term sheet, the customer MSA, or the renewal you are worried about. We will tell you plainly what it requires, what your current programme does about it, and what we would place differently.