Unique liability challenges exist for businesses in relation to the manufacture, sale, and distribution of products, including warranty issues relating to the product performance.
A product recall can devastate a company’s brand name and profitability. No matter what its size, industry, location, or reputation, a company can be left in ruins if it does not manage a product recall well. To minimize the costs and mitigate the risks associated with such an incident, companies must proactively assess and manage their product recall risks.
A complex array of issues must be managed in a product recall, ranging from accurately determining the scope, nature, and extent of the loss, to the applicability of insurance policies, to managing regulators and the consuming public. Krauter’s Global Product Recall Solutions and Prevention Practice works with clients to quantify potential exposures, analyze resources available to respond to such risks, and ensure that the proper solutions are in place to optimize insurance recoveries and limit the financial and reputational impact of a product recall. Krauter’s consultants also assist clients in developing methodologies to help them avoid product recalls.