In the past, commercial general liability insurance (aka product liability) did not cover expenses and damages associated with a product recall; however, this has changed a little. In fact, companies are now seeing essentially two kinds of product recall insurance policies—liken them to the Kia and the Mercedes. One is much more expensive than the […]
“Five years ago, the dietary supplement industry claimed they had no reports of health problems—zero—related to their products. Thanks, in part, to our legislation, today we know that there are hundreds of serious problems each year, many involving hospitalization and death.” – U.S. Sen. Dick Durbin (D-IL) Sen. Durbin made the above statement about FDA’s […]
This risk transfer tool is critical for small and large companies alike. I have been writing about commercial insurance for dietary supplement and nutraceutical companies for years; almost all of it related to product liability or similar topics such as product recall insurance. This article will examine a topic for the ages, which goes by […]
A dietary supplement company with raw materials or finished goods on the move has a duty to itself to make sure those items are insured. For dietary supplement companies that have off-site storage of their property—be it labels, finished goods, raw materials or other property—who insures those goods against the perils of fire, theft, vandalism, […]
AI status can be a valuable tool, but it has certain pitfalls and constraints to consider. For years I have been advising clients to obtain additional insured (AI) status on their supplier’s product liability coverage. This adds another, separate layer of protection, in addition to the product liability insurance purchased in their own name. Conversely, […]
An increase in adverse event reports raises product liability insurance disclosure requirements for supplement companies. An increase in adverse event reports raises product liability insurance disclosure requirements for supplement companies. It was recently reported that the number of government mandated adverse events reports (AERs) connected to dietary supplements has risen for six consecutive years. AERs […]
Careful attention to details about your insurance plan will protect your company from the unexpected. The commercial insurance market for dietary supplement companies is a changing landscape. Product liability rates have stabilized after falling for about seven straight years; some companies are even seeing rate increases. Coverage for DMAA has all but disappeared. Property insurance […]
Careful attention to details and a knowledgeable insurance advisor could save you from disaster. Early last year in this column I wrote about the state of the commercial insurance market in the U.S., and offered some tips to companies in the dietary supplement and nutraceutical industry on navigating what is always a complex process: understanding […]
The popular television commercial that ends with the line “What’s in your wallet?” got me thinking about some of the insurance exclusions that exist (and often are conveniently hidden) in the product liability insurance policies of dietary supplement and nutraceutical manufacturers and retailers. Most people are aware that certain ingredients, and finished products containing said […]
The price for this insurance has been going down at a rapid rate since about 2005. It was going up in a very rapid rate between about 2001 and 2005 but then it started to come down. Most people thought, “Oh, well finally the insurance companies have figured out that the supplements are safe and […]
