In food production, disruption isn't a question of if but when. Fires, cyber incidents, contamination events, product recall and regulatory constraints can quickly escalate into prolonged shutdowns, reputational damage and significant financial loss.
What differentiates businesses that recover quickly from those that struggle isn't luck — it's risk preparation: how risk is identified, modelled and insured before an incident occurs.
The following four case studies demonstrate how Gallagher's proactive, predictive approach to food-production risk enabled clients to secure faster recoveries, stronger claims outcomes and better protection of their operations, brands and balance sheets.
Case study 1: Accelerating recovery after a major fire loss
The challenge
A regional food production facility sustained approximately $40 million in fire damage, immediately placing pressure on cash flow, contractor availability and production continuity.
The Gallagher intervention
With skilled trades in short supply, speed was critical. Gallagher negotiated early and staged claims payments with the insurer, securing $5 million within the first month and $15 million within two months, allowing the business to lock in contractors quickly in a highly competitive market.
Critically, Gallagher completed a property survey before the loss, identifying a maximum foreseeable outage of 18 months. On this basis, the client's business interruption indemnity period was increased from 12 to 18 months before the fire occurred.
The outcome
This forward-looking adjustment delivered approximately $6 million in additional claims payments, materially strengthening the business's recovery position.
Case study 2: Cyber incident coverage that kept production viable
The challenge
A large agricultural manufacturer suffered a cyberattack that disabled electronically controlled irrigation systems, halting production and threatening significant downstream losses.
The Gallagher solution
Through a deliberately structured insurance program, Gallagher had ensured coverage across multiple, interdependent risk areas, including:
- Equipment breakdown
- Business interruption
- Cyber risk
The outcome
This integrated approach enabled the manufacturer to recover costs associated with system restoration, lost productivity and operational continuity, avoiding coverage gaps that commonly arise when cyber and operational risks are treated in isolation.
Case study 3: Asbestos exposure covered when it mattered most
The challenge
A boutique cheese producer operating from a heritage building sustained storm damage, causing asbestos based waterproofing materials to seep through flooring and contaminate the site.
Most standard property policies exclude asbestos removal, exposing businesses to significant uninsured costs and operational delays.
Gallagher foresight
Recognising this exposure in advance, the Gallagher broker had sourced a policy that specifically included asbestos cover.
The outcome
The business was able to claim for the specialised removal work, reducing financial impact and supporting a faster, compliant return to operations.
Case study 4: Product recall protection that safeguarded brand value
The challenge
In viticulture, quality control and hygiene are paramount. When malicious employee tampering contaminated a fermentation vat, a product recall was unavoidable to protect consumers and the brand.
Gallagher protection
The producer's insurance program explicitly covered product recall scenarios, including associated response and remediation costs.
The outcome
This protection enabled swift action, effective damage limitation and minimal long-term impact on the business's reputation and bottom line.
How Gallagher helps deliver positive claims outcomes
With a range of insurance policies available through our network of insurers, our food production specialists have the expertise and risk insight to design insurance programs tailored to our clients' individual needs.
Providing a thorough understanding of specific food production sector risks, disciplined scenario modelling and careful scrutiny of the business's operations, plant, property and stock, we provide tailored insurance coverage that supports faster recovery, stronger financial outcomes and greater business resilience for optimal claims outcomes.
