New Pharmaceutical Company Gains Coverage for Opioids and More—Fast!

Situation: A large regional accounting firm introduced The McGee Group to a pharmaceutical company headquartered in Singapore and starting operations in the US. This company was a new venture with no previous insurance policies or loss history. To make matters even more challenging, part of this company’s drug portfolio included opioids. Insurance carriers were not looking to add additional opioid-producing companies to their portfolios, let alone new drug companies.

Analysis: The McGee Group conducted a complete risk management analysis to understand and identify their risks and determine which could be mitigated via insurance and which could not. This review included the client’s insurance policies, contracts, leases, and other insurance related documents as well as auto vehicle lists, driver schedules, and property and equipment schedules.

Risk Management Service Plan: We were able to leverage our relationships with insurance companies to convince them of our client’s experience and financial stability. This allowed our client to obtain complete coverage, including products liability coverage for the opioid class of their drug portfolio. In addition, this was all completed in a very short time frame, which was critical because our clients had signed several high priority contracts with drug distributors who needed to be shown that insurance was in place and at sufficient levels of liability before starting their operations.