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Pharmaceutical companies in India are seeking larger product-liability insurance cover as they face an increase in compliance costs due to regulatory action by the U.S. Food and Drug Administration, reported Business Standard.
A report by CRISIL Ltd. said that in the past five years, the cost of compliance for the companies has doubled. Drug manufactures are approaching insurers for larger covers to tackle costs arising from recalls and penalties. A 15-20% rise in the prices of the covers has been noted, insurers said.
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