Total (Craft Beer) Recall

Beall Brewery Insurance reports that beer spoilage and contamination are among the top three craft brewery losses based on severity, according to data from The Hanover Insurance Group. That being the case, it is vital for a brewery to develop a recall plan in the event that contaminated beer gets out on the market.

Craft beer insurance experts at Beall Brewery Insurance advise that the first, and most important, step is to review existing operating procedures and make any changes necessary to lessen the probability of a craft beer recall, or to make a craft beer recall easier if it becomes necessary. (Click here for tips about reducing your risk of contamination and spoilage.)

Next, develop the beer recall plan. Consider the following questions as you develop your plan:

  • What will you do to handle complaints about your beer?
  • How will you determine if your product must be recalled? Develop a list of questions you will ask to determine whether a complaint is valid.
  • Who do you need to contact in the event of a craft beer recall? Compile a list of regulatory contacts (the FDA office closest to your brewery, for example, and the local health department), as well as a list of outside experts you may need to contact.
  • How will you recover the product? Develop and document a step-by-step protocol.

You may also want to create a letter or email template for customers, as well as a telephone script, which can be quickly and simply updated in the event of a craft beer recall.

Be sure your brewery’s insurance policy includes coverage for a product recall, but remember: even ample coverage cannot help you recover from the damage to your reputation if you put bad beer on the market. An ounce of prevention is worth a keg of great craft beer.

For more than 25 years, Beall Financial and Insurance Services, Inc., has been helping corporations and individuals protect their most important assets. The agency’s client base covers a spectrum of niche businesses, such as craft breweries, that require specialized insurance packages and knowledge. With California offices in Redlands and Newport Beach, Beall Financial and Insurance Services serves clients nationwide.