A mistake in the production process of a product that causes a loss. Such losses are usually covered.
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A term used in Product Insurance policies which describes a loss that occurs in the production process. For instance, if production workers mistakenly used the wrong ingredients in a chemical formula, a bench error has occurred. Bench errors are covered.
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UK: Product liability term describing an error or omission that occurs during manufacture or assembly. The risk of such errors underlies much of the demand product liability cover.