Review of Australian product safety recalls system
Following that report, Pamela Madafiglio - head of the Sydney Insurance & Corporate Disputes Team at Minter Ellison - provided her insights into the review. Pamela recommends that 'suppliers, and, indeed, others in the supply chain should start to reveiw their recall strategy and their recall policies and procedures in light of the review'.
Product recalls can have a devastating impact on a wide range of people, including suppliers, distributors, manufacturers, retailers and wholesalers. There are general insurance policies that can help protect clients from the catastrphoic effects of a product recall. These policies generally provide coverage for recall costs, replacement costs, business interruption, rehabilitation expenses and product extortion costs.
If you believe that you may need to consider coverage for product recalls, please contact our office by phone on 02 9894 9155, or by email to taggart@taggartgroup.com.au. You can get a full copy of the review from the ACCC website by visiting http://www.accc.gov.au/content/index.phtml/itemId/930113.
Information sourced from Liberty International Underwriters e-new Update dated 17 June 2010.