Insurance Coverage for Food Contamination and Recalls Incidents (Presented by HospitalityLawyer.com®)

Steve Kluting | Arthur J. Gallagher & Co

Mr. Kluting, Esq., Gallagher’s national director of Product Recall (Food & Beverage practice), is an experienced corporate attorney and food industry executive focused exclusively on advising clients in the food and beverage industry, including restaurant operators and grocery chains.

Using his experience as a “food lawyer,” certified HACCP manager and industry executive, he acts as a risk consultant to Gallagher’s food industry clients, helping them better assess and manage their product contamination and recall exposure; navigate food safety incidents, government enforcement actions and product recalls; evaluate, design, negotiate and place product contamination/product recall insurance; develop loss recovery strategies and act as a claims advocate in securing reimbursement of losses; and report to corporate boards regarding company food safety risks.

Mr. Kluting spent more than 13 years as a member of a large, full service MI-based law firm, many as a partner and co-chair of the firm’s food industry practice. He focused on serving FDA- and USDA-regulated companies, advising them on the impact of food laws and regulations, crisis preparation and management, M&A and risk management.

More recently, Mr. Kluting worked as chief strategy officer for a family-owned food wholesaler and retailer. He has been a food-focused Product Recall insurance broker for Gallagher since 2014.

Arthur (Art) Garrett | Keller and Heckman LLP

Arthur (Art) Garrett is Keller and Heckman’s General Counsel and co-chair of the firm’s national litigation practice. He advises clients on insurance recovery, with an emphasis on the representation of food industry policyholders in and out of court.

Art specializes in advising food companies on their liability insurance programs, including GL, D&O, E&O, Excess/Umbrella, first-party property, and specialized insurance policies, such as product contamination insurance and marine/cargo insurance. He provides advice to his clients on the appropriate insurance coverage and the rights of policyholders in the event of a loss and in disputes with their insurance carriers. A typical representation comprises maximizing the insurance recovery after an incident has occurred by coordinating the defense (in cases of bodily injury) and coverage by the contributing carriers and then working with the insurance carriers to the extent there is a subrogated claim against the entity that caused the loss.

Should the insurance recovery matter need to be litigated, Art’s extensive litigation experience takes him around the United States (U.S.), litigating cases in state and federal courts and arbitrating disputes on behalf of corporate and trade association clients.

I. CGL policies | 1:00pm – 1:15pm

• • Third-party coverage for contaminated ingredient claims
  • Third-party coverage for bodily injury

II. First-party property policies | 1:15pm – 1:30pm

• • Direct physical loss
  • Contamination exclusion

III. Product contamination/product recall policies | 1:30pm – 1:45pm

• • Coverage triggers
  • Reimbursable losses

IV. D&O coverage for recalls | 1:45pm – 2:00pm

Break | 2:00pm – 2:10pm

V. Conditions, exclusions, and other considerations | 2:10pm – 2:25pm

VI. Claims process | 2:25pm – 2:40pm