American International Group, Inc.'s Commercial Insurance division announced the introduction of Celebrity Product RecallResponse, a new insurance product designed to help customers respond to risks from a celebrity endorser's public fall from grace, scandal, or unexpected death. Provided through AIG's Lexington Insurance Company Celebrity Product RecallResponse covers certain costs incurred by companies to recall product(s) bearing a celebrity endorser's name and image. The insurance is triggered by significant news media coverage of an endorser's actual or alleged criminal act or other distasteful conduct that results in (or is likely to result in) public contempt for the individual and a significant adverse impact on a company's product.

Coverage includes costs associated with removing products and packaging from the marketplace, including their transportation, disposal, or destruction. The coverage also reimburses companies for the removal of marketing and advertising materials bearing the celebrity's image. Available with standalone policy limits up to $5 million, or by endorsement with limits up to $1 million, the coverage is designed to provide protection for companies of many sizes, including start-ups, small and mid-sized businesses that are engaging a celebrity endorser.