Characterization of the product liability policy and its application in industrial companies

Abstract

This essay is to present and explain the applications of he civil product liability policy coverage as an addition to the general civil liability policy. Regarding the analysis of its evolution, coverage and participation within the insurance sector in the country, along with application of quantitative and qualitative methodology of research. Starting from primary information analysis from official pages and bibliographic references regarding this topic, as well as statical information referring to the both important aspects, such as: results based on net premiums emitted and pay-outs from the last  3 years, applying the linear regression methodology to the defining existing correlation between the variables researched. This way we were able to determine how to apply this coverage to manufacturing companies, such as food industries while indetifyng the risk where a preventive alternative policy with its products merchandising in mind. Throughout the manufacturing processes risks are present. As an example, in food manufacturing, product contamination can bring out a range of problems that can affect others as well as the company operations. Facing such issues can bring negative economic repercussions. In conclusion, a civil product liability policy could be highly regarded as a strategic prospect for any industry.