Product Recall Insurance covers expenses that arise from the need to recall a product from the market.
Manufacturers who produce food, beverages, toys and electronics are the ones who most often purchase this type of insurance to cover the cost of customer notification, shipping, and other costs that are incurred during a product recall.
Product Recall Insurance Coverage usually only covers the company directly assuming they manufacture the products and do not use a subcontracted company. However, coverage can be purchased if third parties are involved.
If you have questions about Product Recall Insurance, ERM is here to help you.
Call (949) 222-0444 to learn more about Business Insurance for Orange County.