Amelia Risk Product Recall Insurance

Amelia Risk says whether a company should buy product recall coverage varies and depends on the brand's risk tolerance, the type of product, and factors like batch sizes and distribution channels. ¹Company-reported. Product Recall page's "When should a company buy" section; general purchase-timing guidance, not eligibility criteria for underwriting.

Amelia Risk says a product recall policy can cover the costs to recall, destroy and replace product, plus public relations expenses, investigation costs, government-mandated recalls, the client's own loss of income, and often a vendor's loss of income tied to the recall. ¹Company-reported. Product Recall page's coverage list; a general description of the coverage type, not a specimen policy form or a specific insurer's wording.

Amelia Risk says product recall policies are not standardized, so the scope of coverage can be very broad or very narrow depending on the insurer, and recommends working with a broker who knows the space well. ²Company-reported. CPG page's product recall discussion; a general statement about the product-recall market rather than a specific policy comparison.

Amelia Risk distinguishes product recall from product liability: recall insurance pays the costs and expenses of pulling a product from the market, while product liability covers third-party bodily-injury or property-damage claims caused by the product; the two are separate policies that can both respond to the same contamination event. ²Company-reported. CPG page FAQ 2. Also notes that some general liability policies include only low sublimits for recall, not a substitute for a dedicated recall policy.

Amelia Risk says it helps clients walk through the risk factors relevant to product recall (product type, batch size, distribution channels, risk tolerance) and come up with a coverage solution that fits. ¹Company-reported. Product Recall page's closing paragraph; a general advisory service description, not a formal risk-control program.

Amelia Risk's stated process for arranging coverage, including product recall, starts with gathering information about the company, then approaching multiple insurers, reviewing the resulting quotes with the client, and letting the client decide how to proceed. ³Company-reported. Specialties page's four numbered steps; describes the firm's general placement workflow, not a product-recall-specific application form.

Amelia Risk says it will advocate for a client's needs during claims, as one of the things clients can expect when working with the firm; the Product Recall page does not describe a recall-specific claims process. ³Company-reported. Specialties page's process list, a general claims-advocacy statement covering all lines the firm places. The Product Recall page itself is silent on claims handling.