How can agents communicate the importance of this type of exposure to the industry? There is a natural resistance by all companies in buying additional insurance. A recall event is not a physical damage event. It does not trigger any of the standard insurance policies. This type of unique recall insurance policy may be the needed stability of risk financing for a manufacturing company. There are a series of converging elements in all manufacturing industries that are having a considerable impact on all manufacturers. A leading indicator is the increased number of recall events. Whether a recall event triggers from malicious contamination, accidental contamination or unintentional error or products extortion, a company will have a dramatic drop in sales and may even be closed down by government regulators for an unknown amount of time. Don’t forget rent, utilities and salaries – all of those continue. The double impact of revenue loss and accumulating extra expenses is an ideal candidate for risk transfer in the form of a Recall Crisis Recovery PLUS (RCR PLUS) Insurance product offered by Professional Liability Insurance Services, Inc. – Underwriting Facilities (PLIS).
All Consumer Good Products & Food/ Beverage Products Considered Under RCR PLUS!
To learn more & gain valuable sales tools please call us at 1-800-761-7547.
This exclusive policy reimburses for this revenue loss, and various expenses including product retrieval, product replacement, rehabilitation, and pre-recall expenses*, but there is more that sets this product apart. The RCR PLUS is an exciting new program with unique Sublimit Options** Including:
- Government Ban or Seizure
- Adverse Publicity
- Counterfeit Products
- Long Term Agreement Endorsement
- Insured’s Customer’s Loss of Profits
- Inoculations, Vaccinations & Testing (consumers & employees)
Possibly a more critical policy component includes dynamic crisis management services. During an overwhelming recall event, government regulators (CSPC, DOT, USDA, FDA, CDC, and state and local health authorities) are in the factory demanding affidavits and onerous paperwork. The RCR PLUS recall insurance product comes with the services of a Specialty Risk Management, Inc. This knowledgeable team of experts goes beyond just being a resource, but blends seamlessly within any organization and prepares manufacturing facilities from the unimaginable including:
- 24/7 Live Recall Event/Contamination Expertise
- Assistance with the Following:
– First Signs of Error in Manufacturing including Physical, Chemical & Biological/Pathogen Contamination
– Decision Making, Data Collection & Regulatory Insight/Response
– Executing a Recall, Scenario Walk-Throughs & Preparing for Inspections
– Media Analysis/Event Control
– 1‐800 Recall Hotlines for Customer Concerns/Brand Management
– Rapid Business Recovery Expertise & Actions
- Crisis Management Plan Reviews & Samples Provided
- On‐Going Product Safety Information & Guideline Support
* as individually underwritten
*additional premium may apply
Professional Liability Insurance Services, Inc. (PLIS) is a National Program Administrator on behalf of Lloyd’s of London with several in-house authorities including underwriting, policy binding, endorsement issuance & in-house claims handling authority. For over 30 years, PLIS has provided customized professional liability programs and introduced unique business interruption programs for specialty niche markets that are not typically addressed in standard policies. PLIS underwrites a variety of programs including but not limited to Restaurant & Hospitality Business Interruption for Food Borne Illnesses, Errors & Omissions, Employment Practices, & Cyber Liability. PLIS policies include a valuable risk management component to assist in Loss Control/decision making and aim to avoid or minimize liability. For More Information please visit www.plisinc.com.
Was this article valuable?
Here are more articles you may enjoy.