Posted on 04 Apr 2013 by Neilson
The increased potential for data theft, malicious tampering and wireless malfunctions in medical devices are top-of-mind concerns for the medical technology and device industry. These emerging risk trends need to be managed - and properly insured. To fill in the potential coverage gaps not covered by a traditional general liability policy, Travelers introduces MedFirst Plus, four new coverage endorsements to its MedFirst policy.
To help customers manage their overall risk profile, the new Travelers MedFirst Plus endorsements include:
- Product Recall Expenses Coverage
Reimbursement of communication expenses, specified transportation expenses, specified employee expenses, certain inspection and testing expenses, and public relations expenses.
- Security Breach Notification and Remediation Expenses Coverage
Reimburses the named insured for certain expenses directly attributable to a security breach that is caused by an information security wrongful act.
- Crisis Management Service Expenses Coverage
Reimbursement of reasonable fees, costs and expenses incurred and paid by the insured to mitigate negative publicity such as retaining a public relations or crisis management consultant or firm and planning and executing your public relations campaign.
- Clinical Trial Medical Expenses Coverage
Provides payment for "medical expenses" for "bodily injury" included in the "products-completed operations hazard" regardless of fault. The bodily injury must arise out of the injured person's participation as a human subject in a "clinical trial."
MedFirst Plus complements the existing MedFirst trio of liability coverages packed into a single insurance policy: products/completed operations, errors & omissions and information security. "With more than 25 years of expertise in providing insurance coverage solutions to medical technology companies, Travelers' broad protection offered by MedFirst and MedFirst Plus provides even greater flexibility in building the right insurance coverage by packaging many desirable coverages together in a single offering," said Patty Nichols, Second Vice President of Medical Technology Underwriting at Travelers.
Whether a medical technology customer is facing a potential liability, or trying to manage business risks due to a product recall or a data security breach event, Travelers has stayed in step with the needs of this growing industry, with coverages and services that span the lifecycle of product development - from R&D to clinical trials and production to distribution.
"Selecting an insurance company can be a complex process. Identifying your real exposures often goes far beyond the completion of a simple checklist," said Ronda Wescott, President of Travelers Global Technology. "Travelers was a pioneer with the introduction of MedFirst in 2010, and the endorsements in MedFirst Plus ensure we will continue to lead the marketplace."
In addition to MedFirst and MedFirst Plus, Travelers offers a full suite of property and casualty insurance products and services tailored to the needs of medical technology and device companies, from start-ups to the well-established.
MedFirst Plus will be available in all 50 states. More information on MedFirst and MedFirst Plus is available on the Travelers website, www.travelers.com/medicaltechnology.