Small business owners in Florida know that fire, theft, and other disasters can strike anytime. While these types of incidents can be devastating to your company, another kind of coverage might be even more critical: products and completed operations insurance. What is this business insurance, and how can it protect you?

The Gordon Agency is an independent insurance company that serves Boca Raton, FL, and the surrounding area. We help people like you stay informed and find the best insurance plan for your needs. Read on to learn about products and completed operations coverage, then contact us at (561) 988-3330 for a quote.

What Is Products and Completed Operations Coverage?

When getting a business insurance plan, you have many options, especially if you manufacture products that customers buy and use. Products and completed operations coverage protects your business if someone files a bodily injury or property damage claim related to your product or services.

For example, if you sell stair railings and a customer falls when using your railing, your products and completed operations coverage kicks in after you’ve manufactured the railing to protect your business from a lawsuit.

Who Needs Products and Completed Operations Insurance?

Products and completed operations insurance isn’t a requirement for Florida businesses. However, you want to avoid financial hardship due to a lack of coverage. A well-rounded insurance policy can protect you if a defective product or faulty service harms a client and prompts them to sue you.

Companies and organizations in various industries can benefit from products and completed operations coverage. These include:

  • Retail stores
  • Restaurants
  • Manufacturers
  • Janitorial service providers
  • Construction companies

What Does Products and Completed Operations Insurance Cover?

Unlike general liability insurance, products and completed operations coverage applies to specific aspects of your business. Products often come with warning labels, and services usually include disclaimers. But things can still go wrong and leave you susceptible to paying out of pocket for damages.

The “products” component of this insurance covers you if one of your products malfunctions and injures someone or damages their property. The “completed operations” component takes care of services you have completed. For example, you’ll have protection if your completed plumbing project goes awry and injures a client or floods their home and they file a claim.

Products and Completed Operations Coverage Exclusions

Products and completed operations insurance covers numerous aspects of your business, but not everything. You’ll want to read through each policy carefully to understand what it does and doesn’t cover. You can expect to face the following exclusions:

  • Damage to products or services: Coverage only applies when products or services cause damage—not when they get damaged. You’ll need additional insurance to protect your own property from damage.
  • Impaired property: Did a customer’s property stop working because of your product or service? For example, is a piece of hardware you manufactured preventing their machine from running correctly? You won’t get coverage if removing your products or services fixes the issue.
  • Defects that don’t result in injuries or damages: Products and completed operations insurance won’t apply if your defective product or poorly performed operation causes problems without injuring someone or damaging their property. You only get coverage if your company’s services or products result in bodily injury or property damage.
  • Incomplete operations: An operation must be complete for the insurance company to provide coverage. If your plumbing project is still ongoing when something goes wrong, your insurance policy won’t protect you. Other portions of your commercial general liability insurance may apply in this scenario.

Benefits of Having Products and Completed Operations Insurance in Boca Raton, FL

Don’t leave your business unprotected—get help finding the right products and completed operations insurance in Boca Raton, FL. Having this type of policy offers many benefits, including:

  • Keeping you from using personal funds to pay for medical bills, repairs, etc.
  • Protecting your company from going bankrupt in severe cases
  • Demonstrating credibility to clients and potential clients
  • Giving you and your employees the confidence to work hard
  • Providing clients with peace of mind and quality assurance

Get the Right Coverage from a Trusted Insurance Agency

Are you looking for a products and completed operations insurance policy to protect your business? The Gordon Agency will help you find the best coverage for your needs and budget in the Boca Raton, FL, area. Call our team at (561) 988-3330 or complete our online form to get a quote on products and completed operations insurance.

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The Gordon Agency Inc.
1825 NW Corporate Blvd Ste 110
Boca Raton, FL 33431