They mean they won't start a fire and burn down your house.
Fire has long been a problem when MOVs are grossly undersized. Two failure modes exist - degradation and catastrophic failure. MOV manufacturers are blunt about this. Catastrophic failure must never happen. MOVs must be properly sized to conduct any surge without catastrophic failure.
An undersized protector can fail catastrophically. Many have seen this such as smoke or sparks. Numerous structure fires have occurred due to undersizing.
Near zero joules protectors depend on a thermal fuse to disconnect protector parts as fast as possible. But sometimes that fuse does not disconnect fast enough. Fire can result.
Effective protectors even earth direct lightning strikes without damage. Protection is always about where hundreds of thousands of joules harmlessly dissipate. How many joules does your protector or UPS claim to absorb? Hundreds? A thousand? Then the emergency protection device - a maybe one amp thermal fuse - averts fire.
We examined one protector from APC that was particularly egregious. Its thermal fuses were not even in contact with MOVs. When Schneider Electric bought APC, it discovered maybe one million of those protectors required immediate removal - due to fire.
A properly earthed 'whole house' protector means hundreds of thousands of joules dissipate harmlessly outside in earth. Properly sizing a protector is essential to averting fire. These numbers are relevant. Lightning can be 20,000 amps. So a minimal 'whole house' protector is 50,000 amps. Because effective protectors do not fail on any surge.
A light can report protector failure. It can only report one type of failure - catastrophic (unacceptable) type. If that light reports a failure, that light is saying a protector was grossly undersized. Its thermal fuse had to trip to avert fire.
Many foolishly believe protectors are one shot protector devices only because so many plug-in protectors are grossly undersized. That light reports a failure on a first surge because that protector was grossly undersized - a potential fire. An undersized protector is also obscenely profitable.
Informed consumers know a properly earthed 'whole house' protector is essential to avert plug-in protector fire. Because and again, protection is always about where hundreds of thousands of joules are harmlessly absorbed. Only 'whole house' protectors are sized and earthed to provide effective protection.
Again, protection without catastrophic protector failure means hundreds of thousands of joules are connected low impedance (ie less than 10 feet) to single point earth ground. Never ignore the numbers.