Falvey Insurance Group Introduces New Product Defect, Recall, and Contamination Coverage

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Sep 09, 2020, 10:00 ET

NORTH KINGSTOWN, R.I., Sept. 9, 2020 /PRNewswire/ -- Falvey Insurance Group is pleased to introduce its newest policy offering: Product Defect, Recall, and Contamination Coverage (PDRC) through its supplemental insurance division of Falvey Insurance Services. Designed for the food, drink, automotive, pharmaceutical, and consumer goods sectors, this insurance coverage helps protect manufacturers and suppliers in the event of a product defect, governmental recall, and accidental contamination.

While many insurance providers offer product recall solutions, Falvey Insurance's PDRC coverage is broader, encompassing defects, which are commonly associated with parts and goods, as well as contamination, often involving the food and beverage and pharmaceutical industries. Falvey's PDRC also includes other triggers such as adverse publicity, extortion, and malicious tampering.

Pairing PDRC with a stock throughput policy (STP) is where Falvey expects its customers to gain additional value and competitive advantages. Regardless of the stage of a business's inventory, a STP and PDRC policy unification insulates against both physical and reputational damage.

Jack Falvey, Chief Operating Officer at Falvey, further explains, "Falvey's PDRC product is a perfect complement to a STP cargo insurance policy. This coverage bridges gaps of risk in the manufacturing and finishing processes of all types of products. Offering PDRC allows us to fully insure all phases of the supply chain."

While PDRC policies are pertinent for a variety of sectors to always have in place, this coverage is particularly important during the current market conditions resulting from the COVID-19 outbreak. The global pandemic has had a major impact on the global supply chain. A recent survey from The Institute for Supply Management revealed that 75 percent of businesses reported their supply chain was somehow affected by the virus. Additionally, some experts predict that cargo volumes will be down by at least 20 percent at U.S. ports in 2020, compared to last year. As a result, many companies facing product shortfalls, defects, contamination, or recalls will face even higher costs and difficulties while trying to resolve these issues while under even greater economic pressure. PDRC coverage can assist these companies with navigating and addressing the uncertainty of these unusual circumstances.

Falvey Insurance Group, in partnership with Lloyd's of London for 25 years, is dedicated to providing broad, flexible insurance coverage. The PDRC product is written on industry-leading coverage forms and backed by a full-time, dedicated team to provide customers with instant support when facing a recall crisis.

About Falvey Insurance Group
Falvey Insurance Group began as a single division, Falvey Cargo Underwriting, opening its first office in 1995 in Wakefield, RI. After 20+ years, the company has evolved into Falvey Insurance Group, comprising three divisions: Falvey Cargo Underwriting, Falvey Shippers Insurance and Safe Harbor Pollution Insurance becoming, "The Specialized Insurance Experts" in maritime coverage. Falvey underwrites on behalf of Lloyd's of London, C.V. Starr, Berkshire Hathaway Specialty Insurance, Beazley Insurance Company, Hiscox, Ascot Group and State National. The flexibility, proactive customer service, claims processing excellence, and comprehensive knowledge and expertise that Falvey companies are known for is unparalleled in the insurance industry.

www.falveyinsurancegroup.com

Contact: Megan Bell, 401-214-5600, [email protected]

SOURCE Falvey Insurance Group