Ironshore updates its primary general liability coverage form

Ironshore’s specialty casualty unit is offering third party product recall cost endorsement for commercial clients which covers specified costs incurred by a direct customer of the insured in the event that a recall must be ordered as defined in the endorsement.

The enhancement to its primary general liability coverage applies on a first dollar basis and provides a separate limit of $50,000 per policy.

The endorsement indemnifies the insured for reasonable and necessary costs incurred as a direct result of a product recall for a period of up to twelve months following the recall action.

The company provides reimbursement for related expenses, such as communications and media notifications, cancellation of promotional advertising and retail shelf slotting fees.

The coverage extends to the actual costs incurred for responsible disposable of named product in addition to the value of the recalled or destroyed product that cannot be reused, distributed or salvaged.

Tim McAuliffe, president of the specialty casualty unit, said: “There has been an increase in the number of recalls globally. Ironshore’s new product recall endorsement helps protect our insured in response to unavoidable, costly event-related expenses.”