Product liability manufacturing insurance, in addition to employers' liability, public liability, buildings insurance, material damage, equipment breakdown and business interruption are key considerations companies.
As a manufacturer you face a variety of different risks that could have serious financial consequences to your business. Transferring those risks such as fire, theft, material damage, and liability compensation claims makes good business sense. Understand how your company can buy cost-effective manfacturing insurance from the best providers in the market.
Manufacturing business insurance is a combination of liability and property covers which help companies protect their interests from a variety of different exposures whilst producing goods.
What you manufacture will have a significant bearing on our approach to identify what insurance suits your needs. Whether you operate in equipment, food, drink, plastics, electronic, textile, chemical, metal, precision tooling, or ceramics, will all impact your cover.
Prudent manufacturing companies will consider additional business insurance covers such as environmental liabilities, product recall and supply chain covers, alongside the traditional covers to fully protect your interests.
Every manufacturing business will need to consider what manufacturing insurance is needed to protect their interests. As a Willis Towers Watson Network broker we have the expertise to arrange a wide range of commercial combined covers.
Health and safety policies will need be combined with manufacturing insurance to guard against injuries, accidents, and compensation claims.
The exposure from the products you produce carries a significant risk to high liability claims being made by your customers and 3rd parties.
Financial risks and business interruption costs posed by fire, flood, and theft are high. Ensuring protection for an unexpected event is paramount.
Product liability insurance offer protection against compensation claims arising from harm or injury caused by the product you manufactured or distributed. The Consumer Protection Act states manufacturers, distributors, suppliers and retailers could be held responsible for damage, injury or death caused by their product or any of that product’s component parts.
Employers’ liability insurance covers the cost of defending and compensating employees who become ill or injured through the workplace and is a compulsory insurance for companies under law.
Public liability insurance covers a defence and compensation claims by persons other than your employees in connection to your business activities. Negligence is the largest cause for successful allegations, for example someone trips on an uneven surface which the company has created.
Buildings and property damage insurance covers damage by unforeseen events to physical assets which the company owns or is under their duty of care, examples would include your premises, equipment, plant, machinery and other contents.
Business interruption insurance covers the loss of income to the company when the production of the product has been halted directly due to a physical loss or damage. The cover seeks to compensate the loss of actual income to the company when an unforeseen event has occurred to the point where the business can no longer operate.
Cyber insurance offers first-party costs and cover for third-party damages in a package product that will provide protection in the event of a cyber attack or data breach. If your manufacturing line is reliant on systems and controls, consider what would happen if they went offline and a hacker requested a ransom demand.
Manufacturing insurance costs will be be influenced by a number of different rating factors. Each insurer will have their own method for calculating risk and therefore your premium cost.
Turnover, wage roll, number of employees engaged with manual work, whether you work with heat or at height, unsupervised and continuous processes, whether you use fixed woodworking machinery, are all considerations.
Aerospace, automotive, construction, food and drink, electronic and robotic, industrial equipment, metalworking products, plastics and injection moulding, or precision engineering, will impact how insurers calculate your insurance premium.
There are a range of additional insurance covers typically purchased by manufacturing companies to protect the balance sheet and the individual's personal assets. As your business reaches a certain size it is prudent to consider what other policy covers are a wise investment to protect your interests.
Protection to the company’s board and senior executives for decisions they make, as they can be held personally liable for their actions.
Protects the loss or damage of the goods once they are in transit, whether imported or exported from overseas by sea, air, or land.
Provides the company with accident insurance for machine breakdown, covering damages that can happen suddenly.