Products Liability
The policy for harm caused by a product you sold, dispensed or supplied, as distinct from a treatment you performed. In this book that most often means compounded medication and retail skincare.
The claim that actually happens
A compounded product causes a reaction
You did not manufacture it. You dispensed it. Whether the claim sits with the pharmacy, the practice or both depends on the supply chain and on what you documented about sourcing. Practices that cannot evidence where a product came from are in a materially worse position.
What it responds to
- Bodily injury caused by a product you supplied
- Retail skincare and supplements sold to patients
- Compounded medication dispensed from the practice
- Devices and consumables you resell
- Defense costs where you are named alongside a manufacturer
What people assume it covers, and it does not
- The manufacturer's own liability, which is theirs
- Product recall costs, which is a separate cover
- Pure economic loss with no injury
Who usually does not have this
Weight loss and hormone practices dispensing compounded product. It is the single most common gap in those two classes, and it is growing as compounding volume grows.