What does Products liability cover under CGL?

• A. Liability for BI/PD caused by a product manufactured, sold, or distributed by the insured
• B. Property coverage for product inventory
• C. Liability for contracts with suppliers
• D. Liability for off-site advertising

Answer: (A)

Products liability under a CGL policy covers bodily injury and property damage that result from a product the insured manufactures, sells, or distributes. It protects the insured against lawsuits claiming that the product caused harm after it left the producer’s hands or in the stream of commerce. This exposure is specifically about injuries or damage caused by the product itself, not about insuring the product’s inventory or the insured’s contracts or advertising. So, the best description is liability for bodily injury or property damage caused by a product manufactured, sold, or distributed by the insured.