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Posted on SEP 25, 2019

Product Contamination - Ensure Your Company Is Properly Covered

As a responsible food manufacturer, processor or distributor, your organization has taken careful and well‐planned steps to ensure that your facilities and the products produced there are safe. Best practice food safety and quality assurance procedures are followed, and tedious testing procedures all but eliminate any chance of your product becoming contaminated. However, the unfortunate truth is that all food producers are at risk of facing a potentially devastating product recall.


Product Contamination Costs Manufacturers an Average of $808,000


In 2015, there were 644 food recalls according to the USDA. That's almost two recalls every day of the year! Managing your product recall risk does not end with good food safety practices. A well‐rounded risk management program should include a combination of effective preventative controls and insurance. Product recall/contamination insurance is the most effective means of protecting your business from an unlikely but potentially devastating situation.

Product Contamination Coverage Can Help With:

  • Recall Costs – Necessary costs incurred by the insured to inspect, withdraw, destroy or replace and recalled insured product including customers recall costs.
  • Rehabilitation Expenses – Necessary expenses incurred by the insured to re‐establish the insured product to the projected level of sales anticipated prior to the recall.
  • Consultant and Advisor Costs – Costs of independent security, advisors or public relations consultants.

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