What Product Recall Insurance Requirements Apply in Kentucky?

Kentucky law bars removal or disposal of food quarantined under KRS 217.115 until an agent or court permits it; an agreed written destruction can avoid a court petition. For adulterated food found in a food establishment, KRS 217.390 instead requires a court petition, gives the owner a hearing right, and can charge destruction to the owner.

What Is Product Recall Insurance?

Product recall insurance can pay specified costs to locate and withdraw a product after a covered problem. It fits businesses that could face recall logistics; product liability does not automatically pay those costs, so compare the trigger and covered expenses. Read the national Product recall guide.

What Should You Watch for With Product Recall Insurance in Kentucky?

Preserve Quarantined Inventory
KRS 217.115 prohibits selling or disposing of tagged food without the cabinet agent’s or court’s permission. Ask how policy wording treats storage, product segregation, and documentation while food remains under a Kentucky hold. ¹
Confirm The Agreed Disposal Route
When a general Food, Drug and Cosmetic Act article is quarantined, the cabinet agent may seek condemnation, but §217.115 says a written agreement with the owner for destruction can avoid going to court. Ask whether the policy requires insurer consent for an agreed disposal or a court proceeding. ¹
Account For Food-Service Court Process
For adulterated food found in a food establishment under KRS 217.390, the officer petitions the district court for condemnation and destruction, and the owner or defender has a hearing right. A favorable court finding puts destruction costs on the owner, with an option for owner-run destruction under officer supervision. ²

Which Product Recall Providers Have Kentucky License Records?

No provider in our research has both a state license record and a listing for this coverage line. This does not establish that providers are unlicensed. Check the regulator’s license lookup and confirm availability with a provider when requesting a quote.

Who Regulates Insurance in Kentucky?

Kentucky Department of Insurance

The Kentucky Department of Insurance licenses agents and insurers, monitors the insurance market, and accepts complaints about insurance companies and agents. You can use its state lookup or complaint service to check a license or raise an insurance issue. ^3,^4,⁵

Website: Regulator website
License lookup: Search licensed producers
Complaints: File a complaint
Phone: 800-595-6053 (option 1, Kentucky only)

Surplus-Lines Tax and Stamping Office in Kentucky

Reported tax rate. 3% on Kentucky-home-state premiums and other premium consideration; separate 1.8% surcharge on eligible risks located in Kentucky, subject to statutory exceptions; applicable local-government premium tax may also apply ^6,^9,^7,^8,¹⁰

When Kentucky is the insured's home state, the state tax is 3% of premium and other consideration treated as premium; local-government premium taxes may also apply. A separate 1.8% surcharge generally applies to Kentucky risks, but state law exempts multistate nonadmitted risks and specified government and nonprofit premiums. The broker must make a diligent effort to place coverage with an admitted carrier before using surplus lines.

Questions to Ask Before You Buy Product Recall in Kentucky

Which Kentucky sales channels and locations are scheduled, including wholesale processing and food-service establishments?
Do costs incurred under a written disposal agreement require prior insurer approval?
Does the policy address claimant-paid storage, supervised destruction, or corrective relabeling expenses?
Who can coordinate with the cabinet agent if the affected inventory is held at a retailer or warehouse rather than my plant?

Product Recall Insurance in Kentucky: Frequently Asked Questions

Can a Kentucky business remove or dispose of quarantined food?

Not without permission from the cabinet agent or court. KRS 217.115 bars sale or disposal of a tagged article while it is detained or quarantined. ¹

Who pays to destroy adulterated food in a Kentucky food establishment?

If the court finds the food adulterated under KRS 217.390, destruction is at the owner’s expense or may be done by the owner under the officer’s supervision. The article cannot be moved or disposed of contrary to the quarantine. ²

Sources for Product Recall Insurance in Kentucky

1
Kentucky Revised Statutes §217.115. Kentucky Legislative Research Commission; Detention or quarantine; subsections (1)–(3), including written destruction agreement, costs, bond, and supervised correction; current chapter database updated September 24, 2026. Accessed 2026-09-28.
2
Kentucky Revised Statutes §217.390. Kentucky Legislative Research Commission; Adulterated food found in food establishment; tagging, hearing, condemnation, and disposition. Accessed 2026-09-28.
3
Kentucky Department of Insurance. Kentucky Department of Insurance; Homepage and consumer telephone. Accessed 2026-09-28.
4
Insurance License Lookup. Kentucky Department of Insurance; State-designated producer/company search. Accessed 2026-09-28.
5
File an Insurance Complaint. Kentucky Department of Insurance; Official DOI consumer complaint page accepts complaints involving general liability and disputes with insurers, agents or adjusters. Accessed 2026-09-28.
6
KRS 304.10-180. Kentucky General Assembly; KRS 304.10-180(1): Kentucky-home-state; 3% applies to premiums, assessments, fees, charges or other premium consideration; local premium tax is separate. Accessed 2026-09-28.
7
Local Government Premium Taxes. Kentucky Department of Insurance; Current local tax schedules. Accessed 2026-09-28.
8
KRS 304.10-090. Kentucky General Assembly; KRS 304.10-090 requires policy notice that nonadmitted insurer is not a Kentucky Insurance Guaranty Association member and its benefits are unavailable upon insolvency. Accessed 2026-09-28.
9
KRS 136.392. Kentucky General Assembly; KRS 136.392(1),(5)-(6): $1.80 per $100 on premium/other charges for Kentucky risks; named government/nonprofit exceptions; multistate nonadmitted risks exempt. Accessed 2026-09-28.
10
Surplus Lines. Kentucky Department of Insurance; Full page states licensed surplus-lines brokers must make a diligent effort to place with an admitted carrier before exporting coverage. Accessed 2026-09-28.
11
Licenses. At-Bay; Current producer introduction and state table; At-Bay Insurance Services LLC; P&C and surplus-lines identifiers. Accessed 2026-09-21.
12
Licenses and Carriers. Coalition; Licenses and Carriers, re-read 22 September 2026: Insurance Licenses table for Coalition Insurance Solutions, Inc., national producer number 18419475, with producer and surplus-lines numbers for all 50 states and DC including California 0L76155, Georgia 196479, Texas 2199630 and 2205589, Pennsylvania 815731 and 817452, Colorado 539028 and Wisconsin 3000108852. Insurance Carriers table naming, with NAIC numbers, Allianz Underwriters Insurance Company 36420, Arch Specialty Insurance Company 21199, Ascot Specialty Insurance Company 45055, Ascot Insurance Company 23752, Aspen Specialty Insurance Company 10717, Chaucer Insurance Company DAC, Coalition Insurance Company 29530, Fireman's Fund Indemnity Corporation 11380, Fortegra Specialty Insurance Company 16823, Lloyd's of London, MSIG Specialty Insurance USA Inc. 34886, MS Transverse Specialty Insurance Company 41807, Steadfast Insurance Company 26387, Vantage Risk Specialty Insurance Company 16275 and Zurich American Insurance Company 16535. Accessed 2026-09-22.
13
Insurance Producer Licenses. Corgi Insurance; Current complete Insurance Producer Licenses table for Corgi Insurance Services, Inc.; 50 rows covering 49 states and DC (DC 3003091619); no New Mexico row; no NPN or as-of date shown. Accessed 2026-09-28.
14
About Hiscox US Insurance. Hiscox; Hiscox Insurance Company Inc. NAIC 10200 as Chicago, IL domiciled insurer admitted or licensed in all 50 states and D.C.; Hiscox Inc. as general agent and Lloyd’s coverholder for Syndicates 33 and 3624; surplus-lines placements through licensed surplus-lines brokers; A.M. Best rating statement. Accessed 2026-09-16.
15
Licenses. ERGO NEXT Insurance; Current entity-by-state license table reopened 28 September 2026: 50 rows under Next First Insurance Agency, Inc., including Washington, DC; New York rows instead list Next Insurance Services PC-1423070 and AP Intego BR-1198885. Accessed 2026-09-28.
16
Insurance Licenses by State. TechInsurance; Current state table; identifies TechInsurance as a division of Specialty Program Group LLC d/b/a SPG Insurance Solutions; lists DC 3000041536 and labels Rhode Island “Individual licenses,” without an agency license number. Accessed 2026-09-28.
17
Licenses. Vouch; Effective 16 January 2025: Vouch Specialty Insurance Services, LLC, NPN 19926463; P&C table (50 states and DC); surplus-lines table includes Idaho 870820; footnote says Georgia and Idaho do not issue agency-level surplus-lines licenses; Idaho retained as producer-only due to conflict. Accessed 2026-09-15.

What Product Recall Insurance Requirements Apply in Kentucky?

What Is Product Recall Insurance?

What Should You Watch for With Product Recall Insurance in Kentucky?

Preserve Quarantined Inventory

Confirm The Agreed Disposal Route

Account For Food-Service Court Process