Overview
In order to onboard an ingestible product (consumed in the body like a supplement) or a cosmetic product (applied to the skin like a cosmetic), or a medical device (a physical product intended to be used for medicinal purposes like a mouthguard) ClickBank requires you to carry a product liability insurance policy issued in your company’s name (a legal entity like an LLC or Corporation). We require this insurance policy because there are risks involved with consumers consuming or using your products. They could always have an adverse reaction to the product and you want to ensure that you have legal protection if such adverse reactions were to occur.
Simply having your company added to your manufacturer’s insurance policy does not offer you sufficient protections. The policy must be your own policy issued in your company’s name.
There are certain minimum coverage and endorsements that ClickBank requires to be part of this insurance policy. These minimum coverages and endorsements are intended to protect you and your assets. ClickBank also requires that we are added to the insurance policy as we are your payment processor for these transactions.
To obtain this insurance policy, you can contact any insurance agent/company of your choice. If you need a referral to some insurance companies, you are welcome to contact any of the listed agents we maintain on this list. When you contact them, you will need to provide the minimum coverage and endorsement requirements, which you can find below.
Here is a simply copy/paste of the minimum coverage and endorsement requires that ClickBank has:
A Certificate of Product Liability Insurance issued to vendor company with these minimum coverages:
$1,000,000 Each Occurrence
$2,000,000 Commercial General Liability Aggregate
$2,000,000 Products / Completed Operations Aggregate
$1,000,000 Advertising Injury and Personal Injury Aggregate
And these endorsements included on the Certificate of Insurance and mailed to us once policy is issued:
Notice of Cancellation
Additional Insured (Click Sales Inc., 1444 S. Entertainment Ave., Ste. 410, Boise, ID)
Primary and Noncontributory – Other Insurance Condition Endorsement
Waiver of Subrogation
For hemp CBD products, confirmation that coverage is afforded for consumable hemp CBD products.
Please note that if your product does not contain hemp or CBD, you can remove the last endorsement listed above.
After you contact your insurance agent, they will provide you with a quote for the cost of that policy. These policies will be for a year’s worth of coverage. When you have obtained your policy, please provide your Certificate of Insurance to your ClickBank contact.
Below is an in-depth explanation of how each of the minimum coverages and endorsements would appear on the Certificate of Insurance:
Here is a sample of exactly what ClickBank needs on an approved COI