Recall insurance: five lessons to ensure you're insured
Companies can protect themselves against many recall-related losses through the procurement of adequate recall insurance coverage; yet, procuring the right recall insurance, can be a difficult process. The following lessons will help avoid common traps:
This may seem obvious, but many companies mistakenly rely on policies that do not cover recalls. For instance, commercial general liability policies almost never cover recalls. Thus, companies must procure a policy of insurance that specifically covers recalls or accidental contamination.