Berkley Life Sciences First to Fill Critical Political Risk Insurance Gap for Life Science Companies
Berkley Life Sciences, a W. R. Berkley Company® has introduced political risk insurance for life science companies, a new, essential coverage exclusively crafted to address life science exposures faced by customers with assets or operations overseas.
Life science companies of all sizes are increasingly exposed to political risk as they manufacture or distribute products, acquire key ingredients or components, or conduct research and development activities across the globe. Yet most property insurance policies do not afford protection from the financial impact of government actions such as confiscation, expropriation and nationalization of assets, or from currency inconvertibility or political violence. And even where traditional political risk insurance is available, it does not address unique risks faced by life science companies with highly regulated, international business operations.
Berkley Life Sciences’ political risk insurance for life science companies fills the gap. This new insurance includes traditional political risk protection, such as coverage for confiscation and political violence, but also addresses the life science specific perils of delayed access and wastage of perishable material. Both perils – common to life science operations - are not addressed by standalone political risk insurance. Delayed access coverage protects an insured when foreign government action prevents a company from meeting delivery requirements or satisfying contractual obligations. Wastage coverage responds when detention or delay by a governmental official – such as a customs officer – causes expiration of product shelf life, or damage to sensitive material due to improper storage by government agents.
“We are pleased to introduce political risk insurance to address the perils of wastage and delay, critical coverage not addressed by the insurance market to date,” notes Jill Wadlund, President of Berkley Life Sciences. “This new coverage fills an unmet need for life science firms concerned with political volatility.”
Political risk is the most recent addition to the full panoply of Berkley Life Sciences insurance solutions. Coverages available include products and clinical trial liability; commercial general liability; professional liability; management liability; excess and umbrella; commercial package; inland marine; automobile; worker’s compensation; and now political risk.