When a product recall hits, it’s not only about lost revenue - it puts a business's reputation, trust, and resilience to the test. From contaminated ingredients to faulty components, even a single oversight can have a ripple effect throughout an entire supply chain. That’s why Delta’s Product Recall Insurance is built to respond fast and protect broadly, long before and long after a recall occurs.
To unpack what makes Delta’s approach different, our specialist underwriting team has prepared a Q&A that explores how our policy safeguards manufacturers, retailers, and designers alike, from crisis response to complete recovery.
What makes Delta's Product Recall Insurance different from others in the market?
Delta’s policy is designed to trigger coverage across the entire manufacturing and production process, not just once products reach the market. This ensures that businesses are protected at every stage, from design through to distribution.
Which industries does Delta cover under this policy?
Delta has a broad risk appetite. We provide cover for both food and non-food industries, ensuring flexibility to meet the needs of consumer goods manufacturers, parts suppliers, and service providers.
Does Delta’s policy extend cover beyond manufacturers?
Yes. Our Consumer Goods & Component Parts wording includes coverage for Design Errors and Omissions, which not only protects manufacturers but also reimburses professional service providers such as designers who may incur liability for defective designs.
Can retailers also be protected under the policy?
Yes. Our Consumable Products wording can be extended to cover Retailers and Customer Withdrawals, providing downstream protection along the supply chain.
Does the policy cover errors by designers?
Yes. Designers—not just manufacturers—can be covered. Our policy reimburses the costs of correcting an error along with any third-party loss of profits stemming from design-related issues.
Are there any sub-limited coverages in this policy?
No. Unlike many other policies in the market, none of Delta’s coverages are sub-limited. Clients have access to their full indemnity limit for covered losses, providing maximum protection when it matters most.
What options are available for SMEs?
For SME clients, Delta offers NIL retention options. This eliminates the initial deductible that businesses usually need to pay, minimising the financial impact of a recall on smaller enterprises.
Are crisis consultant costs part of the indemnity limit?
No. The costs of crisis consultants are covered in addition to the Limit of Indemnity and are not subject to retention. This means clients can fully utilise their indemnity limit for recovery while still accessing expert crisis management support.
What types of losses are covered?
- Insured loss of profits
- Third-party loss of profits (where the insured is liable)
- Fines and regulatory penalties
- Costs associated with cyber incidents
- Adverse publicity and reputational damages
- Legal, accounting, and public relations services
How does Delta support clients during a recall event?
Delta has partnered with world-leading crisis consultants and experienced loss adjusters. These specialists assist businesses with investigations, crisis management, recall logistics, and brand reputation recovery, ensuring clients are supported from the first alert through to resolution.
What are the maximum cover limits available through Delta Connect?
Coverage is available via Delta Connect, with limits of up to $500,000 for businesses with under $10 million in turnover. There are no restrictions on the number of employees, making this policy accessible and scalable for growing enterprises.
Explore Delta’s Product Recall offering and discover how we can help safeguard your business.
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