2013 Missouri Product Liability Insurance Report

  • In 2013, Missouri product liability insurers settled 718 claims with payments totaling $19,586,068. An additional 4,025 claims were closed without payment.  
  • The bulk of payments was comparatively small. Nearly 49 percent of paid claims were closed at amounts less than $2,500; while nearly 73 percent were closed for less than $10,000. 
  • At the other end of the scale, two claims were reported to have payments between $500,000 and $1 million, and three claims had a settlement for $1 million or greater. 
Products resulting in most paid claims between 2004 and 2013
Product type Claims paid Average payment
Putty products
Restaurants - serve no alcohol
Products associated with highest average payout for 2013
Product type Claims paid Average payment
Building materials
Wheel and tire manufacturing
Concrete and asphalt
Machinery parts or equipment use


  • In 2013, total payments were 33 percent of premium, compared to 60 percent in the prior year. Large short-term fluctuations are not uncommon in product liability insurance. Due to small volume of business, a few large claims during a year can significantly impact the overall performance of the line.   
  • To illustrate the size of this line of insurance, total premium was $35 million in Missouri in 2013. This compares to homeowners premium ($1.7 billion), private passenger auto ($3.1 billion), and workers’ compensation ($827 million).

This report was compiled using closed claim data as reported under Section 374.414 RSMo., and financial data reported on the Missouri Supplement to Page 19 of the Annual Statement. The accuracy of this report is therefore dependent upon the accuracy of each company’s submitted data. Future releases of these data may contain revisions.

Any questions concerning this report should be addressed to the Statistics Section, DIFP, P.O. Box 690, Jefferson City, MO 65102-0690.

*Negative loss ratios can occur when insurers correct past over-reserving.

**To view the most recent Product Liability data, visit the Supplement Data Report page, select “Product Liability” under the “Property and Casualty Line” menu. Select year desired, then click “Submit.”