Question

A customer ate some oysters at the insured's Oyster Bar and Grill and became extremely ill. Where would the coverage lie for such an event?

(A) Premises and Operations and Med Pay

(B) Completed Operations

(C) Contractual Liability

(D) Product's Liability

Answer 1

The coverage for a customer falling ill after eating oysters at an oyster bar would likely be under Product's Liability, as this insurance covers claims of injury caused by sold or supplied products. Option D is correct.

Step-by-step explanation:

The coverage for an event where a customer became extremely ill after consuming oysters at an oyster bar would likely fall under Product's Liability. This form of insurance is designed to cover businesses against claims of personal injury or property damage caused by products they have sold or supplied. In the case of the oyster bar, if the oysters are deemed to have been contaminated and resulted in the customer's illness, Product's Liability would respond to such a claim.

Contrarily, Premises and Operations coverage would apply to general accidents occurring on the business premises or as a result of business operations, not specifically tied to a product fault. Completed Operations relates to liability arising from completed work, such as construction, after it has been finished, which does not apply in this case of immediate food consumption. Contractual Liability would involve liability assumed under a contract, which also does not apply here.