Product Liability Insurance in Iran
For manufacturers, importers, distributors and consumer-goods brands selling in Iran.
Persian twin page (authoritative): /liability/commercial/product-liability
Short answer
Product liability insurance compensates consumers for bodily injury and property damage caused by a defective product manufactured, imported or sold by the insured. In Iran it operates under the Consumer Protection Act and the Civil Liability Act, covering court-awarded damages and defense costs in defect claims, up to the policy limit.
The final premium is issued upon official quotation — no premium figures are published on this site.
Who needs this policy?
- Manufacturers of consumer and industrial goods
- Importers placing foreign products on the Iranian market
- Distributors, wholesalers and brand representatives
- Retailers and online sellers of declared product categories
- Assemblers and packagers whose processing can create defects
What is covered?
| Coverage | Description |
|---|---|
| Consumer bodily injury | Diyeh, medical costs and court-awarded damages for injuries caused by a defect in the insured product. |
| Consumer property damage | Damage to consumers' property caused by the defective product — for example an appliance fire damaging the buyer's home. |
| Defense costs | Attorney fees, laboratory expenses and procedural costs in claims brought under the Consumer Protection Act and civil liability rules. |
| Chain-of-supply liability | Response to claims reaching the insured as manufacturer, importer or seller, with recovery referral to the responsible party. |
| Product tampering extension (optional) | Under agreed endorsements, losses from malicious product tampering can be scheduled, subject to the insurer's terms. |
| Aggregate limits per product line | Structure of limits per event and in the aggregate for a product line, as declared in the policy schedule. |
What is not covered? (Exclusions)
- The insured's own financial loss from recalling or replacing the product without third-party damage
- Claims arising after the product's declared shelf life or warranty period
- Damage caused by misuse contradicting the written instructions
- Products not declared in the policy schedule or produced under an unlicensed line
- Deliberate non-compliance with mandatory standards of the Standards Organization
Issuance conditions
- Declaration of product categories, brands and distribution channels at issuance
- Compliance with mandatory national standards for the declared products
- Traceability of production batches for claims handling
Required documents
- Business license and production or import permits
- Product list with categories and standard certification
- Annual sales data and distribution channels
- Previous liability policy, for renewal and no-claims discount
How to buy — step by step
Quotation and consultation
Submit the quote request with the product portfolio; the advisor proposes per-event and aggregate limit structures.
Documents and official proforma
After the product list and sales data are reviewed, an official proforma invoice is issued on Bimeh Iran tariffs.
Premium payment
Pay through the banking gateway or a bank receipt; cover starts the moment issuance is confirmed.
Policy delivery
The printed and electronic policy, with the product schedule, is delivered within one working day.
How to claim — step by step
Immediate notification
Notify the agency within five working days of a consumer claim or of becoming aware of a suspected defect.
Claim form and evidence
Submit the claim form, the defective product or samples, purchase evidence and the consumer's medical or repair documents.
Technical examination
Laboratory or standards-organization reports establish whether the damage is connected to a product defect.
Liability assessment
The adjuster determines the insured's role in the supply chain and the legal basis of liability under the Consumer Protection Act.
Settlement and payment
Compensation is agreed with the consumer or fixed by ruling and paid subject to the policy deductible.
Batch review
If the defect is systemic, remaining batches are reviewed and future production corrective measures are documented.
Claim notification deadlines and assessment details follow the policy general conditions and the Iranian Insurance Act (Article 30 practice: notification within five working days).
FAQs — Product Liability Insurance
Legal sources
Consumer Protection Act of Iran — Adopted 2009 — producer liability for defects
Civil Liability Act of Iran (1960) — Article 1 — compensation of damage caused by fault
Iranian Insurance Act (1936) — Article 30 — five-day claim notification
Iranian statutes are authoritative in Persian; English titles above are orientation references.
Reviewed by the Iran Liability Insurance content team
Reviewed by the licensed team of Agency No. 20616 of Bimeh Iran, specialized exclusively in liability insurance.
Legal review: licensed team of Agency No. 20616, Bimeh Iran — Last reviewed: 24 October 2026
Get Product Liability Insurance through the official Bimeh Iran agency
The online quote form is in Persian. English-speaking visitors may submit inquiries by email in English, and a consultant will respond in English. The quotation is issued on current Bimeh Iran tariffs after the limit of liability is agreed.