Completed Operations Insurance for Manufacturers
Your liability doesn't end when your product leaves the factory. Completed operations insurance covers claims that arise after your manufacturing or assembly work is done and your product is in use.
What Is Completed Operations Coverage?
Completed operations is a component of commercial general liability (CGL) insurance that provides coverage for bodily injury and property damage that occurs after your work or operations are "completed" — meaning after the product has been delivered, installed, or put to use.
For manufacturers, "completed operations" begins the moment your product leaves your facility. If a defect in your product causes an injury six months after delivery, completed operations coverage responds to that claim.
Completed Operations vs. Product Liability — What's the Difference?
Products Liability
- Claims arising from a product itself
- Injury or damage caused by the product defect
- Applies to movable goods manufactured and sold
- Can be triggered immediately upon sale
Completed Operations
- Claims arising after work is finished and product delivered
- Damage caused after installation or assembly
- Applies to work performed at customer locations
- Time-delayed claims — sometimes years later
In practice, most manufacturers need both products liability AND completed operations coverage — and most CGL policies include both as part of the "Products-Completed Operations Aggregate."
Who Especially Needs Completed Operations Coverage?
Long-Tail Liability Risk
One of the most important aspects of completed operations coverage is its protection against "long-tail" liability — claims that arise years or even decades after the product was delivered. This is particularly relevant for:
- Building components that may fail years after installation
- Industrial machinery with gradual wear issues
- Chemical products with delayed health effects
- Electrical products that may degrade over time
Get Comprehensive Coverage for Your Manufacturing Business
Products liability and completed operations protection — get a free quote in 24 hours.
Get Free Quote