COVER STORY
FOOD MANUFACTURING LIABILITY Food manufacturing liability covers product recalls, pollution, and crisis management. There were 10 to 20 food and consumer product recalls each month in 2018 in NZ alone.This cover could be needed in an era in which: • Fonterra was ordered to pay 105 million euros in damages as a result of a whey protein contamination and botulism scare in 2013 • Needles were found in strawberries in Queensland in September, leading to a government-ordered recall which hit not only growers but retailers Crombie Lockwood offers Foodsure while Delta’s product is Food Manufacturing Liability Insurance with two subsets– food and beverage and non-food and beverage. Kirk said Delta’s product “is unique in that is bundles up a range of products. It’s covering product recall when they’ve been tampered with; product defects when products don’t work; and pollution from the manufacturing process. Also crisis management – expenses incurred front-footing media and dealing with negative publicity.” PERSONAL HOUSEHOLD CYBER INSURANCE An October 2018 NetSafe report found cyberbullying costs $444m per year. Now personal cyber insurance for individuals in a household - offered
ransomware – Percy covers restoration and replacement of damaged items. It also covers identity theft and financial loss. It’s quite broad.” DRONE INSURANCE For every industry using drones in business, insurance needs to follow. With drones a staple of sporting events, film and TV production, real estate photography, land and building surveying, oil and gas, agriculture and emergency services. An insurance product covering drones has been badly needed as more and more industries utilise drones. The difference between coverage for remotely piloted aircraft systems (RPAS) and unmanned aerial vehicles (UAVs) is worked out according to the weight of the drone. The insurer may require the customer to undertake a course such as the CAA’s 101 course (aka Drone 101) to obtain certification to fly a larger vehicle. Coverage is for: • Aircraft hull liability • Aviation risks presented need to be detailed in each policy • Complete operating system, including airframe, payload, launch station, UAV spare parts and ground control station are specified and covered • Drone insurance is packaged-up with related coverages including employer’s liability, cyber liability, professional indemnity
widely around the world - has arrived in New Zealand. Delta Insurance is again leading the underwriting of what it calls PerCy, launching March 2019. “It includes a risk management solution – we can help you frontfoot improving your risk position so your network is secure, configured correctly,” Kirk said. “We looked at it because we’ve been in commercial cyberspace – but these same issues affect people at home. Viruses,
• Drone insurance can provide extensions covering statutory liability and liability stemming from privacy issues regarding the use of UAVs – liability under laws regarding civil aviation, privacy, resource management and health and safety E-BIKES AND E-SCOOTERS – UNIQUE POLICY PRODUCT FROM MID-2019? NZ Brokers told CoverNote that, in September 2018, their analysis of
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March 2019