A food-borne illness outbreak usually results in a large number of claimants and, depending on the scope of distribution of the contaminated product, it can spawn claims in a multitude of jurisdictions. For insurance adjusters and their insureds, a critical question is…
Blog Archives
Consumers’ Inability to Shape Up! Does Not Constitute Bodily Injury
THE SCOOP On January 30, 2012, a Texas federal judge ordered that Chubb Custom Insurance Company (“Chubb”) had no duty to defend its insured because the claimants in the underlying class action did not allege any “bodily injury” as defined by the…
Peanut Distributor Not Entitled to Coverage Under Accidental Contamination Policy
The ripple effects of a food recall up and down the supply chain continue to play out in courts across the U.S. Recalls are not simply a matter of an injured consumer making a claim against the manufacturer of a…
Posted in Contamination Policy, Insurance Coverage
Burritos Contaminated With Non-Dangerous Bacteria Not Covered By Contamination Policy
THE SCOOP This insurance coverage dispute arose out of a burrito product produced by Little Lady Foods that failed to make it to the market as expected. Prior to shipment to convenient stores, Little Lady had to test its burrito…
Posted in Contamination Policy, Insurance Coverage
Fresh Express’ Recall Policy Does Not Cover Spinach Recall Absent Actual Contamination
THE SCOOP The food industry will remember 2006 as the year of the North American E. coli outbreak caused by fresh-bagged spinach. The FDA issued the broadest advisory in its history regarding a commodity, advising consumers not to eat bagged…
Posted in Insurance Coverage
