BANGKOK--4 Feb--PRNewswire-Asia-AsiaNet/InfoQuest
Marsh, the world's leading insurance broker and risk advisor, today warned that Thai businesses are not prepared for the Act on Liability for Injury from Unsafe Products (the "new Act") which comes into effect on 21 February 2009.At an American Chamber of Commerce meeting today with leading Thai companies, Marsh PB Thailand CEO Robin Armstrong outlined the risks facing companies and the available solutions.
"This new Act is a significant step forward for Thailand in terms of bringing greater accountability to product manufacturers and protection for consumers, and bringing our local legislation in line with global best
practices," said Mr Armstrong.
"However, it means companies may be caught off guard when the act comes into effect in a few weeks. Do you have product liability insurance? Do you have a product recall strategy? These are questions companies should ask themselves, especially manufacturers and exporters."
The new Act covers a wide range of products, including consumer goods, goods used at a place of work, foodstuffs, ingredients of food stuffs, building materials, product components, raw materials, pharmaceutical and healthcare products.
"The risk is clear: almost any company can be sued. However, Product Liability insurance is a time-tested solution to protect against the serious financial consequences of potential claims," said Mr Armstrong.
Product Liability insurance is not new to Thailand, but the new Act has made this once under-utilised risk management tool now a necessity for companies.
"Thai businesses should take a detailed look at their potential risk exposure. Given the country's booming manufacturing industry and amount of Thai products in the global marketplace, companies should seek professional advice to proactively manage their financial exposure before it's too late."
About Product Liability insurance
Product Liability insurance protects your business against the legal liability to pay damages for death, injury or property damage caused by defects in product design, manufacture process or labeling. The policy usually dictates a maximum dollar amount of liability during a 12-month period, and is designed according to a company's particular circumstances. It typically covers a range expenses related to any claim, including solicitors' fees, court expenses, damages and claimant's costs. It does not cover punitive damages.
About Marsh
Marsh, the world's leading insurance broker and risk advisor, has 24,000 employees and provides advice and transactional capabilities to clients in over 100 countries. Marsh is a unit of Marsh & McLennan Companies (MMC), a global professional services firm with more than 55,000 employees and annual revenue exceeding $11 billion. MMC also is the parent company of Guy Carpenter, the risk and reinsurance specialist; Kroll, the risk consulting firm; Mercer, the provider of HR and related financial advice and services; and Oliver Wyman, the
management consultancy. MMC's stock (ticker symbol: MMC) is listed on the New York, Chicago and London stock exchanges. MMC's Web Site is http://www.mmc.com . Marsh's Web site is http://www.marsh.com .
Contact:
William Sargent
+65-8139-7400
[email protected]
SOURCE: Marsh
--Distributed by AsiaNet ( www.asianetnews.net )--