Talanx Group’s industrial lines insurer
HDI Global SE (
HDI) has developed a new insurance policy to protect vehicle suppliers in the event of manufacturers claiming against them for automobile recall costs.
What the new HDI policy, called Automobile Supplier+, does is remove the usual separation between government-ordered measures relating to hazard prevention and measures outside the scope of hazard prevention, or those carried out on a vehicle without there being the consequences of a recall ordered by a government authority.
“Initially, that sounds unspectacular,” said Thomas Noth, liability expert at HDI Global SE. “However, it really is spectacular. In the past, this separation resulted in different coverages within insurance contracts: The cover for measures within hazard prevention used to be wider – a larger number of insured cost items was available for this than in the case of cover for measures outside risk prevention. The broader cover is now generally applicable.”
In addition, the new policy covers travel costs, public-holiday and weekend bonus payments for seconded assembly personnel, costs of assembly monitoring, costs for working equipment and additional parts; costs incurred to establish that the complete product operates properly after the replacement has taken place; and costs for disposal of removed vehicle parts.
“The features it contains include new coverage elements that didn’t exist in the past, and were therefore not insured,” said Noth. “For example, we have expanded the cover for replacement costs and included additional cost items in the insurance.”
Policyholders also receive global cover with uniform standards in international insurance programmes. Citing international networking in the supplier sector, HDI highlighted how crucial it is to provide suppliers in all countries of their operations with appropriate protection that takes account of the regional features associated with liability.
HDI, which operates in over 130 countries, ensures that the established service and insurance protection is extended for all covered risks worldwide.
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