Egg producers are no strangers to recalls, but following the most recent salmonella outbreak, one of the largest in U.S. history, some are looking towards an emerging service that could lend a hand in recall crisis management. BusinessInsurance.com explains:
The recall of half a billion eggs tainted by salmonella linked to chicken feed likely will cost hundreds of millions of dollars and ignite further debate over whether food producers should buy product recall insurance, experts say.
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While interest in the coverage has increased as a result of several recent high-profile recalls, the market for product recall coverage is still developing, they say.
Some recall insurance extends so far as to cover not only losses from business interruptions, bodily injury and product loss but also the critical phase of reputation rehab, including advertising and consumer education, without which it becomes difficult to move past the incident and return to normal operation.
The BCM Blogging Team
https://www.bernsteincrisismanagement.com/