A Products Liability Policy is designed to provide the Insured with an indemnity in respect of compensation which the Insured is legally liable to pay to third parties for bodily injury or property damage arising from defective products supplied by the Insured and which occurs during the period of insurance. It also covers costs and expenses of litigatuon recovered by an claimant against the Insured and incurred with the written consent of Insurer. In some policies, such costs and expenses are included within the overall limit of indemnity.

• Liability assumed by the Insured by agreement such ad under a contract.
• Liability arising out of contract of employment.
• Insured's own property or those under care custody or control of the Insured.
• Where the Insured has waived rights or limited his rights against suppliers.
• Liability in respect of goods (including containers) supplied at other premises of the Insured not forming part of this insurance.
• Any defect in or the harmful nature of nay goods intended to be supplied and supplied if such good are in accordance with the design plan drawing specifiaction or formula intended to be bused and used by the Insured.
• Any defect in the directions or advice intended to be given and given by the Insured concerning the use or loss of or any damage to nay goods supplied by the Insured .
• Liability in respect of loss or damage to any goods supplied by the Insured if such loss or damage is attributable to any defect in or the harmful nature of unsuitability of such goods.
• War and kindred risks, civil war, mutiny, civil commotion etc, martial law or state of siege, acts of terrorism.
• Iconizing radiation or contamination by radioactivity from nuclear fuel etc.
• Nuclear weapons material.

Generally a detailed proposal form will need to be completed which will provide important information concerning the source of materials, production and quality control exercised by the Insured, the countries to which the products are exported. Other pertinent information would be the past loss history of the Insured. Generally, the excess (the first amount of nay loss to be borne by the Insured) will be in respect of third party property damage.

Where the coverage is on Claims Made Costs Inclusive basis, the Insured must make sure that all subsequent policies issued will have the same Retroactive Date. It is also to be noted that all Products Liability Insurance are not only subject to an occurrence limit but there will be an aggregate limit of liability any one period of insurance.

Note: This information is for briefing purpose only. Full detail and conditions of policy cover are contained in VIA's official policy wording.