Final answer:
The products and completed operations coverage under a General Liability Policy typically covers injuries to customers caused by the insured's product. It does not cover the loss of recalled products or damage to the products during their creation. This type of insurance is crucial for businesses to protect against unforeseen events.
Step-by-step explanation:
The products and completed operations coverage part under a General Liability Policy is designed to cover risks associated with the products and operations of a business after they have been sold or completed. Specifically, it does not cover the loss of a recalled product due to a possible defect or damage to the insured's own product or materials during manufacturing. Instead, it typically covers b. Injury to a customer caused by insured's product. This would handle claims where a business's product has caused a customer harm, such as in the scenario where an automobile manufacturer is held liable for injuries due to known defects in their brakes.
General Liability Insurance is a crucial insurance method of protecting a company against financial loss from claims of injury or damage caused by their business activities. It is an important form of collateral as insurance against unforeseen, detrimental events, protecting the business's assets and financial stability.