What's the difference between Public Liability and Products Liability Insurance?

Public Liability vs Products Liability Insurance?

The difference between public liability and products liability insurance is quite distinct, despite products liability and public liability being offered as a combined policy (as with Qdos policies) or sometimes as an add-on. Products liability doesn't tend to be offered as a standalone product.

Both public liability insurance and products liability insurance policies cover third party claims for injury or damage to property, however each insurance will react in different circumstances.

Public liability insurance reacts in circumstances in relation to the delivery of your services, whilst Products liability reacts in circumstances in relation to products you have manufactured, supplied, or sold.

For example, if you were to cause injury to, or damage the property of a third party in the delivery of your services such as accidentally leaving a wire on the floor which causes someone to trip and fall, and that person took legal action against you, this could give rise to a public liability claim.

If you sold a client a product which subsequently caused a third party bodily injury or damage to their property, whether from a manufacturing defect, design defect or failure to provide adequate warnings, and the third party took legal action against you, this could give rise to a products liability claim.

What's the difference between Public Liability and Products Liability Insurance?