Argo’s 12 Days of Santa’s Insurance: Product Liability Insurance

It’s December 26, and Santa has changed out of his trademark red suit into swim trunks as he and Mrs. Claus celebrate another year of hard work with a little R&R far away from the snowy North Pole. As he debates whether to snorkel or sunbathe, Santa receives some sobering news: The workshop quality control team has learned this year’s popular giant teddy bear is ripping apart at the seams in homes all over the world. 

All of a sudden, “Jingle Bells” blares and Santa shoots out of bed. He realizes the teddy bear catastrophe was just a bad dream. But his sense of unease lingers, prompting him to wonder how he might be able to insure his risk in the event his nightmare were to come true.

Here are a few things Santa should know about a product liability policy and coverage from Colony Specialty.

• A general liability policy would not only provide coverage for damages caused by work or products, but would also provide premises coverage for visitors and vendors who may visit the workshop.

• Colony has the capacity to provide primary limits of $1 million, but can also provide excess coverage limits. The policy offers options of waiver of subrogation, Additional Insured endorsement and access to an underwriter to help satisfy other concerns or contractual obligations Santa may have.

• Colony’s claims department is top-notch and ready to handle claims with speed and professionalism.

• The policy’s minimum premium starts at $5,500 a year with a small deductible.

• Speed means Santa’s stress would be short-lived because Colony offers a 24-hour turnaround time on Middle Market business.

Rest easy, Santa. You’ve got options.