FINCH INSURANCE BROKERS
HOW ARE CLASS ACTIONS
A DANGER TO MEDICAL
In a recent legal case, over 800 women have launched action
against the NHS and the manufacturer of a vaginal mesh implant
used to treat pelvic prolapse after childbirth, alleging that the
devices have left them in lifelong pain.
Whilst the medical product regulator has said the current
evidence shows the devices are ‘acceptably safe’ if used ‘properly
and as intended’, the litigation costs will be enormous, and the
manufacturer’s defence costs are likely to be funded by their
Products Liability insurers.
This case highlights the importance of medical product
manufacturers having an adequate level of Products Liability
insurance. As an example, if a judge were to award 800 claimants
a nominal amount of £20,000 each then the Company would be
liable to pay £16 million in awards. It is highly unlikely that many
businesses carry anywhere near this level of insurance cover and
would therefore be liable for any shortfall.
Products Liability insurance is usually written with a ‘per
occurrence’ indemnity limit but is also subject to an annual
aggregate limit which caps the amount an insurer will pay in any
policy year. It is therefore highly advisable that all companies review
the aggregate aspect as well to ensure they are properly protected.
How can companies ensure they are properly protected?
• Consider the risk associated with the product. Common sense
tells you that a bandage presents less risk to a patient than an
invasive product and is far less likely to cause harm. As such
higher limits of cover are advisable for higher risk products.
• Consider the volume and geography that the products are
sold in. If you sell to the UK market only, you are less likely to be
sued than if you supply to the USA for example. Defence costs in
foreign territories also tend to be much higher thank in the UK.
It is therefore advisable to protect yourself with a higher limit of
cover if you are selling outside of the UK.
LET OUR COMMERCIAL
LOOK AFTER YOUR
Medilink’s Commercial Partner
‘Servicing International Trade Events’
(SITE) is a specialist event logistics
provider whose service package
includes a comprehensive consultancy
SITE is a one stop shop for all your
international exhibition requirements.
They offer assistance for exhibitions,
conferences, product launches, road
shows and trade fairs across the globe.
With their extensive experience in the
industry, they can provide advice on
all aspects of events, from design and
implementation stage to transport,
onsite logistics and skilled personnel
The range of services they offer include
event management, stand design and
construction, freight and long term
They are also developing an exciting
new live chat feature to provide quick
answers to any exhibitor queries -
operating 24 hours and in multiple
Their consultation and management
services ensure you have peace of
mind - all service elements of the
event process will have been catered
for leaving you to concentrate on the
SITE will continue to work with Medilink
on Asia Health 2018,
Africa Health 2018, FIME 2018,
Medic East Africa 2017, Rehacare 2017,
Medica 2017 and Arab Health 2018.
For more information contact
Once you have worked out your risk exposures, you will be able
to decide how much Products Liability cover you require. Being
properly insured could make the difference between your business
surviving a major claim or not.
Finch is the exclusive Insurance and Employee Benefits partner
to Medilink and we have extensive experience of Products liability
for companies operating in the medical sector both in the UK and
abroad. If you have any questions we would be delighted to help in
any way we can.
Please contact firstname.lastname@example.org.
Please note - the views being expressed are those of the author and not necessarily Medilink.