Every day, it seems, brings news of another milestone achieved thanks to 3D printing. Just last month doctors at Penn State Children’s Hospital surgically implanted a 3D-printed esophageal “splint” in 13-month-old Ramiah Martin, who was born without a trachea and with a malformed esophagus.
Digital manufacturer Carbon and football helmet designer Riddell recently announced plans to make a 3D-printed football helmet liner. And large-scale 3D printer BigRep recently unveiled plans for a futuristic-style 3D-printed motorcycle.
Known in the manufacturing and technology space as additive manufacturing, 3D printing uses multiple processes to physically replicate objects created by computer-aided design (CAD). It can often be accomplished without the need for tools or a block of raw material. The 3D printed products are often light and durable while the process can save manufacturers time and money.
While its applications are inspiring and transformative on many fronts, 3D printing is not without risk. Insurance risks can be substantial for parties involved in 3D printing any product, because the process involves more players than traditional manufacturing. There can be one person writing code to control the printer, another person operating the printer, a company supplying materials the printer uses, and more, so companies often need multiple policies to ensure protection.
The stakes — and costs — can be especially high for companies that 3D print products for the medical and automotive sectors, said Susie Parks, Vice President and Senior Broker, Burns & Wilcox Brokerage, Scottsdale, Arizona.
“In the case of a medical mistake, a family may blame a (medical) device that is 3D printed rather than the doctor, even if the mistake is likely to have been caused by human error,” Parks said. “(A litigant) may choose to sue everyone who could have been involved, not knowing who was ultimately at fault.”
Even if company is found not to be at fault for a mistake discovered in a 3D printed product, the average legal costs for defending a charge can range from $50,000 to $250,000, Parks said. That alone can be a prohibitive cost for many companies to afford out-of-pocket.
