PRODUCT RECALL INSURANCE
Accidental contamination insurance, otherwise known as Product Recall insurance, is a special coverage that reimburses insureds for financial losses they suffer when it is likely that its product may be recalled either voluntarily by the insured or by government mandate. The coverage “trigger” under a product recall policy for a food and beverage company, for instance, would be the knowledge that an accidentally or maliciously contaminated product could cause bodily injury were it consumed by the public or animals.
The importance of product recall insurance is demonstrated by many companies forced into bankruptcy because they did not have the financial resources or special claim response knowledge which is included in the policy. While many large organizations have the resources to address the impact of a product recall, most organizations do not and simply cannot absorb the related significant financial loss, both in recall efforts and business income loss.
Coverage Tailored for You
No two businesses are exactly alike and a custom application will help us design the right program. Product recall insurance indemnifies the insured for certain financial losses produced by the insured event. These include the actual physical recall expenses, as well as loss of profit, product replacement costs, extra expenses, and rehabilitation expenses. Customer losses and government mandate expenses can be included.
Risk Stops Here
The best disasters are the ones that never happen or managed to minimize your business interruption. We have connections to specialists with specific risk reduction techniques for such a traumatic event.
Contact Shorepoint Insurance Services for a quote today.