Does your product liability insurance cover the real costs of a product recall?
Contaminated Products
Cover
Covers losses arising from:
• Accidental or unintentional contamination, impairment or mislabelling resulting from any stage from production to sale that could result in harm to users within 120 days of contact
• Actual, alleged or threatened, intentional tampering with the product to make it harmful
• Threats to tamper with a product in order to extort money
The policy covers
• Recall costs
• Business interruption (lost gross profit)
• Rehabilitation costs
• Consultancy costs
• Adverse publicity (optional)
Client profile
Suitable for food, drink, tobacco, cosmetics and pharmaceuticals for example.
Scope and terms are subject to the terms and conditions of the policies. A specimen policy is available on request.
Defective Products Insurance
Cover
Covers recall losses arising from
• Accidental omission, introduction or substitution of components or substances
• Errors occurring in any stage from design, through to labelling and storage
• Intentional damage that could cause the product the product to be harmful
The policy covers costs to inspect, withdraw, or destroy the product incurred within 12 months after the recall, including:
• Communication (radio, TV, Internet, ads…)
• Shipping from purchaser, distributor or user
• Overtime and additional personnel costs
• Storage costs and cost of disposal
• Redistribution
• Independent Security, PR or Recall Consultants
Client Profile
Suitable for manufacturers of a wide range of finished goods.
Scope and terms are subject to the terms and conditions of the policies. A specimen policy is available on request.
We help explain what stages your business could expect to go through if your products are subject to recall actions
Expert analysis, testing or inspection of the faulty product and the manufacturing facility usually precedes any decision to instigate a recall.
Placing national, local and trade safety notices as part of a recall.
Conducting an efficient recall is essential but the problems do not stop there. If faulty products reach the market place it can also damage your reputation, loyalty of your customers & the confidence of your investors.
Conducting an efficient recall is essential but the problems do not stop there. If faulty products reach the market place it can also damage your reputation, loyalty of your customers & the confidence of your investors.
The speed at which affected goods can be traced, identified and recovered is critical to the overall success and damage limitation of a recall operation.
Safely disposing of the damaged or contaminated goods. Certification of disposal may also be required, to prevent dangerous items resurfacing in the secondary market.
Cancellation fees for advertising, media or promotional schedules.
Finding out what caused the product fault (such as contaminated environment or the design specifications) then replacing, restoring or fixing the product.
Pre-Incident recall consultancy fees are commensurate to the premium amount.