At Dixon’s Insurance, we understand that product recalls can be one of the most challenging and costly events your business may face. Whether it’s due to safety concerns, manufacturing errors, or malicious tampering, a recall can damage your reputation, disrupt operations, and lead to significant financial losses. That’s why we offer Product Recall Insurance, designed to provide peace of mind and robust financial protection for your business.
A product recall can happen to any business, regardless of size or industry. From food and beverage companies to manufacturers, the risks are real. Here are some scenarios where our Product Recall Insurance can make all the difference:
Without proper coverage, these situations can cripple your business. But with our Product Recall Insurance, you’ll have the support you need to manage the crisis effectively.
Comprehensive policies includes multiple sections to address various aspects of a recall event. Here’s what you can expect:
Insurers will reimburse you for costs associated with recalling an insured product due to:
If a recall impacts your day-to-day operations, we’ve got you covered:
Managing a recall requires more than just financial resources—it demands strategic communication and recovery planning:
Policies typically cover recall costs as a direct result of any unintentional error during the production process of an insured product that would result in bodily injury or damage if used as intended.
Policies cover recall costs as a direct result of any unintentional error during the production process of an insured product that would result in the product failing to perform if used as intended.
Policies cover recall costs as a direct result of an official authority enforcing or recommending a recall of an insured product on the basis that the product is likely to result in bodily injury or damage if used as intended.
Policies cover recall costs as a direct result of any unintentional error during the software development process for an insured product that would result in bodily injury or damage if used as intended.
Policies cover recall costs as a direct result of the malicious tampering with an insured product, other than malicious tampering caused by a cyber peril, that would result in bodily injury or damage if used as intended.
Polices cover recall costs as a direct result of the malicious tampering with an insured product caused by a cyber peril, that has resulted in the product causing bodily injury or damage when used as intended.
We cover reasonable sums necessarily incurred as a direct result of product extortion, including payments made to meet the extortion demand, response consultant costs, and security guard services.
We cover recall costs as a direct result of any media report alleging an insured product has been maliciously altered and would result in bodily injury or damage if used as intended.
We cover reasonable sums necessarily incurred during the premises rectification period for cleaning, repair, and recalibration of machinery and facilities.
We cover reasonable sums necessarily incurred during the indemnity period for reworking, remanufacturing, or replacing recalled products.
We cover professional fees to determine the amount of loss of sales covered under INSURING CLAUSE 2 (SECTION C only).
We cover reasonable and necessary investigation costs incurred to identify if a product recall event has occurred.
We cover reasonable sums necessarily incurred for public relations, legal advice, and operational coordination provided by response consultants.
We cover reasonable sums necessarily incurred for advertising and promotional activity of an insured product that has been subject to a product recall event.
Don’t wait until it’s too late—protect your business now with Dixon’s Product Recall Insurance. Our team is here to help you assess your risks and customize a policy that fits your unique needs.
