Is your USA product liability insurance cover adequate?

Exporting specialist products to the USA from the UK in the current climate

The impact of Coronavirus (COVID-19) has without doubt presented significant challenges to all businesses, not least those exporting goods around the globe including the USA and Canada. Amongst these unprecedented challenges, many UK SME businesses continue to export to the USA and Canada. Quite rightly, and as expected shipments of medical supplies in and out of the USA were prioritised and there have been restrictions on delivery of non-essential items to FBA sites in the USA.

Earlier this month the UK’s negotiations for a free trade agreement with the USA had a particular focus on small businesses that are seeking beneficial terms in exporting to America.


It was also reported earlier during the outbreak that high demand for shipments had resulted in backlogs but most recently the most severe backlogs have been cleared.

 Most manufacturers or distributors have additional exposures not limited to their products

Due to the high risk nature of certain products and the litigious US society, it is mindful to consider that each state has different rules, regulations and exposures. If you export to the USA or Canada specialist insurance will be needed and exports to certain areas require special consideration. Specialist insurance is required as litigation is extremely costly and court awards much higher. A defective product for example that causes injury can result in a product liability legal claim against either the manufacturer, distributors or importers.

Insurance for exporters of specialist products to the USA

Exporting products such as health food supplements, beauty products, technology exports, carries increased risks and USA Protect can provide an insurance policy that gives you with peace of mind and the correct product liability protection when exporting to North America.

For suppliers of specialist products that are purchased elsewhere you might be storing products in the UK that require warehousing before your products are shipped or perhaps you sell your products online that go into the USA through Amazon, as such Amazon FBA Insurance is a requirement. All exporters to the USA will need insurance cover whatever they are doing, it’s an essential part of your business and protects your assets whether it is just whilst stock is being moved or if you have a full manufacturing business.

Ensure your business is best protected

Insurance cover should enable you to fulfil your business’s ambitions and make the most of opportunities – not prevent you from doing so, but for insurance to fulfil its objectives, the cover you purchase needs to accurately reflect your business requirements.

The truth is, sadly, you only know the true value of insurance in the unfortunate event of a claim – and unfortunately that point could be too late, and completely ruin your business and the livelihood of the people you employ. If you had legal action made against your business or had to make a claim and were incorrectly insured, this would leave you faced with the remaining costs yourself which could be anything from hundreds, to thousands, to millions of pounds. Don’t forget when making decisions about insurance it’s essential you check whether the cover is adequate and appropriate for your needs from a specialist insurance broker such as USA Protect, a trading style of Real Insurance.

To ensure you have the correct product liability insurance when exporting to North America or Canada please contact one of the USA Protect specialists today on 01623 889530. We’re always happy to help, where we can.