In nearly every industry and sector, there is potential for error and unforeseen circumstances. It is critical for businesses that are involved in the selling and distributing of products to implement and maintain a product liability program to reduce their company’s overall risk.

A product liability program is a set of policies and procedures a business puts in place to reduce the risk of product-related injuries and lawsuits. The program should be designed to identify and control hazards, train employees on safe product use, and respond to product-related incidents.

How to Create a Product Liability Program

To create a product liability program, a business should first assess its risk. This involves identifying the types of products it makes or sells, the potential hazards associated with those products, and the likelihood of those hazards causing injuries. The business should also consider the potential costs of product liability claims, including medical expenses, lost wages and legal fees.

Once the business has assessed its risk, it can develop a product liability program to address those risks. The program should include the following elements:

• Hazard identification and control: The business should identify and control any hazards associated with its products. This may involve redesigning products, adding warnings or instructions, or providing training to employees and customers.
• Employee training: The business should train its employees on safe product use. This training should cover the potential hazards associated with the products, as well as the proper procedures for using and maintaining them.
• Incident response: The business should have a plan in place to respond to product-related incidents. A plan should encompass procedures for reporting incidents, investigation, and corrective action.

Product Liability Across Functions

When building a product liability program, the business should also include multiple business functions. This should always include the following departments:

• Engineering: The engineering department should be responsible for identifying and controlling hazards associated with products.
• Manufacturing: The manufacturing department should be responsible for implementing the hazard controls identified by the engineering department. Note, this function may also encompass quality control, if assigned to the manufacturing department.
• Quality Control: The quality control department should be responsible for ensuring that products meet safety standards.
• Sales and Marketing: The sales and marketing department should be responsible for providing customers with accurate information about the risks associated with products.
• Customer Service: The customer service department should be responsible for responding to customer inquiries about product safety.

By including multiple business functions in its product liability program, a business can help to reduce the risk of product-related injuries and lawsuits.

Keys to Program Success

Once the product liability program has launched, there are important steps to take to ensure it continues to run effectively and efficiently. Consider these tips for creating and maintaining a successful product liability program:

• Ensure the program continues to be tailored to the specific risks of your business.
• Obtain input from all relevant departments when developing and reviewing the program.
• Train employees on the program and ensure that they understand their responsibilities.
• Review the program regularly and make changes as needed.
• Keep records of all product-related incidents and take steps to prevent future incidents.

By following these critical steps, businesses can help to protect themselves and their employees from the possible financial and reputational costs of product liability claims.

The information provided in this article does not, and is not intended to, constitute legal advice; instead, all information, content, and materials contained in this article are for general informational purposes only. Further, this information may not constitute the most up-to-date legal or other information.

Preventable injuries, commonly known as “accidents,” are the fourth leading cause of death in the United States, . Join us in observing National Safety Month as we work together to highlight the leading causes of preventable injury and death in order to create healthier, safer environments at home and in the workplace.

Promoting Safety in the Workplace

This year, the following weekly topics will be highlighted during National Safety Month:

Week 1 – : By prioritizing workplace safety, employers can stay prepared and create a positive and productive environment for their employees. This includes implementing robust safety protocols, providing proper training, and maintaining equipment. Organizations can also use this month to review safety policies, conduct risk assessments, and engage employees in safety initiatives to ensure a safer work environment for everyone.

Week 2 – : It may come as a surprise that the third leading cause of unintentional injury-related death is falls. In 2021, 44,486 people died in falls at home and at work, according to . For working adults, depending on the industry, falls can be the leading cause of death. Whether working from a ladder, roof or scaffolding, it’s important for employers to plan ahead, assess the risks and be sure to use proper, well-maintained equipment. Observational safety programs can also help to reduce the risk of falls at work.

Week 3 – : Every year, thousands become sick from occupational heat exposure and, in some cases, these injuries can be fatal. To avoid hazardous heat exposure, employees should:

• Consume adequate fluids (water and sport drinks)
• Work shorter shifts or split shifts
• Take frequent breaks
• Quickly identify any heat illness symptoms
• Wear proper PPE (Personal Protective Equipment)

Week 4 – : Even in familiar surroundings, employers need to be looking for dangers in the workplace. Keeping an eye out for hazards and performing routine building safety measures can help organizations identify and avoid them before an injury occurs.

Moving Forward

As a leading provider of property and casualty insurance, 91şÚÁĎÍř aligns with the principles of National Safety Month by offering comprehensive risk management solutions and insurance products tailored to specific industry needs—all of which enhance workplace safety, minimize potential losses, and protect your bottom line. This month serves as a reminder that investing in safety is not just a legal obligation, but a responsible choice that benefits everyone involved.

Why is heat a hazard to workers?       
The body regulates its core temperature constantly by sweating and circulating blood to the skin. However, the hotter the air temperature, the more difficult this becomes. When the air is just as warm as, or warmer than, the body’s normal temperature, the blood circulated to the skin is unable to release excess heat. In this case, the body’s primary way of cooling off becomes sweating, which is really only effective if both the humidity level is low enough to allow the sweat to evaporate and the lost salt and fluids are replaced.

If it’s hot and humid enough to prevent the body from releasing its excess heat, the person then becomes vulnerable to a variety of heat illnesses: the heart rate increases, causing the person to have difficulty focusing, becoming irritable or sick and often losing the desire to drink.

Some of the more dangerous heat illnesses, such as heat exhaustion or heat stroke may become fatal. Read about them and their prevention .

Who is most at risk?
People working outside in heat and humidity, or indoors with radiant heat sources, have the highest risk of heat-related illnesses. According to the Occupational Safety and Health Administration (OSHA), the risk increases if the workers are “doing heavy work tasks or using bulky non-breathable clothing and equipment.” Newcomers, or those returning from time away, should also be careful when adjusting to this kind of work environment because their tolerance may be lower than workers who have been there longer or more consistently.

What are the employers’ responsibilities?
You are required by law to provide a safe workplace for your employees. This includes educating workers on the hazards of heat, and strategies to prevent heat illness. You are also responsible for providing water, a shady resting area and adequate breaks for your workers.

One useful resource for determining the level of risk workers may face while out in the heat is the OSHA-National Institute for Occupational Safety and Health (NIOSH) Heat Safety Tool App. Available in the Apple App store, it provides a visual indicator of the current heat index in any given location, as well as offering precautionary recommendations specific to those heat levels.

For more information about heat safety, please contact your agency or local 91şÚÁĎÍř Loss Control Consultant at 800-257-1900 or losscontrol@amerisure.com.

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