Does Product Liability Cover Product Recall?
Product-liability coverage may address customer injury claims; recall and withdrawal expenses usually require separate coverage.
A recalled product can still lead to an injury lawsuit, but the cost to identify, retrieve, repair, or destroy units is a separate exposure. An illustrative CGL form excludes some recall expenses.
Ask about separate recall coverage and compare voluntary and required recall triggers, covered costs, waiting periods, and sublimits with the CGL exclusion.
