Selling products online comes with risks beyond bad reviews. A defect allegation can lead to third-party injury or property damage claims. This checklist helps you stay prepared with documentation, traceability, and the right insurance coverage, including product liability insurance, fire insurance, cybersecurity insurance, supply chain disruption insurance, and employee injury insurance.

Labels and Instructions

• Use clear usage guidelines, warnings, and storage instructions.
• Reduce disputes over “misuse vs defect” with precise labeling.
• Ensure packaging and manuals meet compliance standards.

Batch Traceability

• Maintain batch lot mapping from supplier to customer.
• Enable quick isolation of affected units during recalls.
• Strengthen defense in liability claims with traceable records.

Supplier Paperwork

• Keep Certificates of Analysis (COA), test reports, and invoices ready.
• Store vendor agreements for causation queries.
• Organized paperwork speeds up insurance claim settlements.

Complaint Log

• Track complaints with dates, batch details, and photos.
• Record resolution notes to show proactive control.
• Demonstrate corrective action to insurers and regulators.

Recall Plan

• Draft a simple recall SOP with clear steps.
• Include reverse logistics and customer communication templates.
• Plan for recall costs, often covered as add-ons in insurance.

Territory Clarity

• Check if your insurance policy covers international sales.
• Add jurisdiction extensions like the North American clause if needed.
• Avoid gaps in coverage when selling abroad.

Insurance Coverage Essentials

• Product Liability Insurance: Protects against third-party injury or property damage.
• Fire Insurance: Covers losses from accidental warehouse or office fires.
• Cybersecurity Insurance: Shields against data breaches and cyberattacks.
• Supply Chain Disruption Insurance: Provides coverage for supplier failures or transport delays.
• Employee Injury Insurance: Ensures compliance and compensation for workplace injuries.

A strong checklist plus comprehensive insurance coverage ensures your D2C brand stays resilient, compliant, and protected against unexpected risks.