California and Illinois Hold Accidental Contamination Provisions Afford No Coverage

Two recent cases have examined policy definitions of accidental contamination and accidental product contamination under a product recall issued to a food distributor and a malicious tampering/accidental contamination policy issued to a food manufacturer, respectively. In both cases, the insureds’ food products were not actually contaminated, although the insureds incurred costs when contamination was suspected. Both courts read the policy language carefully and concluded that under the facts presented, no coverage existed.