supermarket produce aisle
MAJOR SUPPORT: United Fresh teams with Western Growers to promote a new recall protection insurance program for members.

Produce associations team up on recall insurance program

Western Growers and United Fresh agree to provide recall insurance to the fresh produce industry.

A fresh produce recall can be a game-changer for a business, and not in a good way. The news that breaks about a recall can damage reputations and create breaks in business that can harm income in both the short and long terms. United Fresh Produce Association and Western Growers have entered into a formal marketing agreement to promote the Western Growers Shield. This is a new insurance program designed to protect food companies from recall liability.

In a statement announcing the agreement, Tom Stenzel, United Fresh president and CEO, commented that the program provides an innovating solution to a critical bottom line issue facing members. "Our Finance and Business Administration Council was very impressed with this program, and we look forward to working with the WG team to bring recall insurance to every segment of the fresh produce supply chain," he said.

Under the agreement, United Fresh will exclusively endorse and promote the WG proprietary program that includes property, contamination, recall, liability and non-physical damage loss of income protection.

The program is more than an insurance policy. WG builds a customizable approach to manage all risk related to a potential recall event. The program provides vetted, industry-specific risk mitigation solutions to help prevent a recall, and it offers a range of options including high limits and deductibles. The program is exclusive to the ag and food industry from multiple carriers across the market.

The program is designed as a product recall management solution.

Tom Nassif, Western Growers president and CEO, added that the two groups have worked together for some time in the fresh produce industry. This latest partnership will help expand the insurance to more states beyond the WG area. "With United's reach into states not currently served by WG, and relationships with food companies from farm to fork, this partnership is the next logical step in protecting the long-term viability of our collective memberships," he said.

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Sources: United Fresh, Western Growers



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