South Carolina Product Liability Insurance

Product liability insurance covers legal defense costs, court judgments, and settlements when someone claims your product caused injury, illness, or property damage. This includes three types of defects. Manufacturing flaws that happen during production. Design problems that make products inherently unsafe. Inadequate warnings or instructions that lead to misuse. The coverage protects manufacturers, retailers, e-commerce sellers, and distributors throughout the supply chain. Your insurance policy responds whether the claim has merit or not—even frivolous lawsuits require expensive legal defense.

Coverage limits depend on your product risk and sales volume. It’s not one-size-fits-all. Most South Carolina businesses start with $1 million per occurrence and $2 million aggregate coverage limits. Higher-risk products or businesses with significant international sales often need $5 million or more. If you manufacture components for industries like automotive or aerospace, you may need $10 million+ limits. Policy exclusions also matter—understanding what’s not covered helps you plan appropriately. We’ll help you determine appropriate coverage limits based on your specific situation and recommend any additional coverage needed. Our licensed insurance brokers analyze your exposure through comprehensive risk assessment and recommend limits that protect your assets without unnecessary premium costs.

Getting covered is simple. Really simple. Contact The Allen Thomas Group for a free consultation. We’ll ask about your products, revenue, and business type. Then we compare quotes from top-rated carriers through our network of insurance providers. Most businesses receive quotes within 24-48 hours and can be covered immediately after approval. The entire claims process typically takes just a few days. We handle the underwriting process efficiently, working with carriers who understand South Carolina insurance regulations and your industry. Call us at (440) 826-3676 or request a quote online.

Yes. Absolutely yes. This is critical to understand. Retailers and distributors can be held liable for defective products even when someone else manufactured them. Courts often name everyone in the supply chain in lawsuits. If you sell, distribute, or import products—especially from overseas—you need this protection. One lawsuit without coverage can bankrupt your business. South Carolina product liability law doesn’t distinguish between manufacturers and sellers when determining liability. Both face exposure. Consumer protection laws hold all parties accountable. Without adequate coverage limits and proper risk management, your business assets are at risk. Insurance brokers who understand distribution and retail operations can structure policies that protect your specific position in the supply chain.

General liability covers accidents at your business location, like customer slip-and-falls or property damage during your operations. Product liability specifically covers injuries or damage caused by products you make, sell, or distribute—even after products leave your premises. Different risks require different coverage. General liability protects your business operations. Product liability protects your products. Most policies bundle both coverages together, giving you complete protection against both operational and product-related claims. We’ll help you understand exactly what you’re getting and ensure there are no coverage gaps. Business insurance works best when all exposures are addressed comprehensively through proper coverage limits and risk management strategies.

Product liability insurance isn’t legally required by South Carolina insurance regulations for most businesses. However, it’s often required by business partners, commercial leases, or marketplace platforms. Amazon frequently requires proof of insurance before approving sellers. Major retailers require their suppliers to carry substantial coverage limits. Commercial landlords may require it in your lease. Even if not legally mandated, the risk makes it essential. The South Carolina Department of Insurance doesn’t require it, but the business reality does. Without coverage, a single claim can bankrupt your operation. Insurance carriers, insurance brokers, and risk management professionals all recommend product liability coverage for anyone in the product supply chain. Legal compliance with contracts often depends on having proper insurance in place.

Fast. Very fast. Most South Carolina businesses receive quotes within 24-48 hours after providing basic information. Once you select coverage, approval typically happens within 1-3 business days for standard risks. Some businesses can be covered the same day if underwriting is straightforward. The claims process moves quickly too—we help you navigate everything efficiently. Insurance premiums can often be paid immediately to activate coverage. Working with experienced insurance brokers who understand the underwriting process accelerates everything. Call us at (440) 826-3676 to get started today.

You still need coverage. Maybe even more than companies selling under their own brand. Contract manufacturers and private label producers face significant exposure. Your manufacturing agreement may require specific coverage limits—often $2 million to $10 million depending on the client and industry. We help contract manufacturers structure policies that meet client requirements while managing insurance premiums effectively. Risk assessment for contract manufacturing considers your entire client portfolio and their industry exposures. South Carolina insurance regulations apply equally to contract manufacturers and branded manufacturers. Proper coverage protects your business regardless of whose name appears on the product.