Product Recall Policy
Ensuring Safety & Quality – Our Product Recall Policy
In today’s global marketplace, product recalls are a growing risk for manufacturers. A Product Recall Insurance Policy helps businesses manage the financial impact of recalling defective products, protecting both their reputation and bottom line.
Key Benefits
- Covers recall-related expenses like customer notifications, shipping, and disposal.
- Helps protect brand reputation and customer trust.
- Can include third-party coverage for extended protection.
- Supports replacement or repair costs of defective parts.
- Available for regional or international recalls.
Health Cover Up
to ₹50 Lacs
What is Product Recall Policy?
A Product Recall Insurance Policy provides financial coverage for businesses that need to recall a product due to defects, contamination, or regulatory violations. It ensures that companies can manage recall costs efficiently without bearing the entire financial burden, safeguarding both operations and credibility.
Why do you need Product Recall Policy?
Financial Protection
Covers costs for notification, shipping, disposal, & replacement.
Brand Reputation Management
Maintains trust by managing recalls efficiently.
Regulatory Compliance
Ensures businesses meet industry safety standards & avoid legal penalties.
Operational Continuity
Minimizes business disruptions and allows smooth recovery after a recall.
Why choose Insurance Manager to protect your business?
Comprehensive Protection for Your Workforce
Ensure employee well-being with complete health insurance coverage.
Comprehensive Protection for Your Workforce
Ensure employee well-being with complete health insurance coverage.
Cost-Effective Group Insurance Plans
Affordable plans with benefits like maternity, critical illness, and dependent coverage.
Cost-Effective Group Insurance Plans
Affordable plans with benefits like maternity, critical illness, and dependent coverage.
Peace of Mind for Employers and Employees
Reduce financial stress with cashless claims and reimbursement options.
Peace of Mind for Employers and Employees
Reduce financial stress with cashless claims and reimbursement options.
Boost Employee Productivity and Retention
Build loyalty and motivation by easing economic and mental burdens.
Boost Employee Productivity and Retention
Build loyalty and motivation by easing economic and mental burdens.
What does Product Recall Policy cover and exclude?
Plan Coverage
Product Recall Expenses
Covers costs for communication, shipping, storage, and disposal.
Customer Notification
Expenses for informing distributors, retailers, and consumers.
Replacement & Repair Costs
Covers the cost of replacing or repairing defective products.
Legal Liability
Covers compensatory damages resulting from the recall.
Consultant Fees
Pays for expert guidance and risk assessment (e.g., RQA’s expertise).
Additional Workforce & Overtime
Covers extra staffing costs to manage the recall.
Regulatory Compliance Costs
Covers expenses related to meeting government recall mandates.
Brand Reputation Management
Assists in PR, media handling, and crisis communication efforts.
- In-patient treatment 24 hours a day
- Pre-existing disease
- Pre and Post hospitalization
- Domiciliary hospitalization expenses
- Reimbursement of cost of health check-up
- All day care procedure
- Family floater to covers member’s immediate family such as a spouse, dependent children, dependent parents, etc.
- Maternity benefits
- Dental treatment
- Cost of spectacles, contact lenses
- Waiver of waiting period
- Waiver of first-year exclusions
- Reimbursement of ambulance costs
- Baby day one care
- Vaccination benefits
- Increased room rent limits
- Corporate buffer
- Out-patient treatment (OPD Card)
- Root canal surgery
- In-hospitalization expenses due to sickness or accidents
- Room and boarding expenses as provided by the hospital/nursing home.
- Nursing expenses.
- Surgeon, anesthetist, medical practitioner, consultants or specialist fees.
- Anesthesia, blood, oxygen, operation theatre charges, surgical appliances, medicines and drugs, diagnostic materials and X-Ray, dialysis or chemotherapy.
Major Exclusions
Intentional Misconduct
No coverage if the defect was knowingly ignored or concealed.
Loss of Market Share
No compensation for sales decline due to reputational damage.
Criminal Fines & Penalties
Does not cover legal fines imposed by authorities.
Product Redesign Costs
Excludes expenses for improving or redesigning the product.
Voluntary Recalls
Does not cover recalls initiated without regulatory approval or safety concerns.
Normal Wear & Tear
Damage due to aging or regular use is not covered.
Non-Defective Products
Recalls due to marketing errors or overstocking are excluded.
War & Terrorism
Losses due to war, terrorism, or political risks are not covered.
- If the appropriate waiver is not opted for, then the policy will not cover
- Treatment of pre-existing illnesses.
- Any treatment for illnesses/diseases within the first 30 days of the policy, unless it is an accident.
- Treatment of specified illnesses for the first year of the policy.
- Certain diseases like hernia, cataract, piles, sinusitis, etc are excluded during the first year of operation in the cover.
- Any claim arising out of or traceable to pregnancy.
- Ayurvedic, homeopathy, naturopathy or any other form of local medication.
- Alcoholism, drug abuse, and AIDS.
- Dental treatment or surgery unless it requires hospitalization.
- Cost of spectacles.
- Vaccination and inoculation.
- Cosmetic treatment.
Your Journey to Insurance Manager
When can I Claim?
A claim under Product Recall Policy can be registered in the below circumstances:
- If a product poses a health or safety risk to consumers.
- When a regulatory authority mandates a recall.
- If defective products cause financial or reputational damage.
Claim what’s yours with Insurance Manager
Have more questions?
Submission
Assessment
