XL Insurance, the global insurance operations of Bermuda-based XL Capital Ltd, is the latest to offer financial protection against the growing tide of food and product recalls. XL’s subsidiaries have operations in Hartford.
Its XL Insurance unit says its U.S. and Canadian coverage is triggered by a recall notice and whether or not there is immediate evidence that a client’s food ingredient poses a consumer health threat.
Recently, the American Frozen Food Institute began offering XL’s recall coverage to its members.
XL said the January 2009 salmonella outbreak linked to tainted peanuts heightened public and corporate alarm to the cost of food recalls. Automotive recalls, particularly involving certain Toyota models, has added to the awareness.
Insurer Aon Corp. and insurance wholesaler Crump Insurance Services are among companies that underwrite or market product-recall coverage.
XL said its coverage is provided via Lloyd’s of London syndicate No. 1209 and managed by XL London Market Ltd.
