From the day, you start your manufacturing business; you expose yourself to various risks. Even before manufacturing a single product or before the first employee is hired, a business exposes itself to various risks, making it necessary to have the right insurance policy. One lawsuit or catastrophic event could derail the growth of your business.
Fortunately, you can protect your manufacturing business, against various risks and dangers with the following insurance policies -
1. Property Insurance -If you have your building or have other items like office equipments, inventory computers, etc.; you should go with a property insurance policy that promises to cover you against perils like theft, burglary, vandalism, etc. You can also go with a fire insurance policy that offers monetary compensation in case loss or damage happens due to fire.
2. Workers’ Compensation Insurance Policy - Though you are taking all initiatives to provide a safe working atmosphere for your manufacturing business, accidents can still happen. In case any worker gets injured during the working hours, you would become liable to pay compensation and other benefits to him. In some cases, injured worker or their family also files a case. Therefore, it becomes necessary to go with a workers’ compensation insurance or workmen compensation policy which promises to offer wage replacement and other benefits to injured workers or their families.
However, in exchange for these benefits offered by a workmen compensation insurance policy, the worker has to give up his rights to sue the employer for the incident. As a business owner, it is necessary for you to have a workmen compensation insurance policy to protect yourself and your company from various legal issues.
3. Professional Liability Insurance -Also called, Errors and Omissions Insurance, this insurance policy plays a crucial role by shielding you and your company against legal complications which may arise due to the improper rendering of professional services. In other words, the policy offers coverage to professionals against legal claims which fall on them due to errors and omissions committed by them while discharging their duties. There is no one-size-fit professional liability insurance policy as each industry has its sets of concerns which will be taken care in a policy customized as per their business requirements.
4. Product Liability Insurance - As you are manufacturing products for sale in the general market, it is indispensable to have a product liability insurance. Even a business that compliance with the global quality norms to make sure its products are safe can find itself in a legal suit due to damages caused by one of its products. Here, product liability insurance plays an important role in protecting a business in such a case, with the coverage which can be tailored-made to suit your business requirements. The insurer covers all the amount, inclusive of defence costs, which the policyholder can become legally liable to pay as compensation.
5. Commercial Vehicle Insurance -Whether you own a small company with a single mini truck or a company having a fleet of vehicles, it is necessary to buy a commercial vehicle insurance to safeguard your business against liability in case an accident should happen in which your vehicle is involved. It can be done by buying a comprehensive vehicle insurance policy which covers not only third-party liability and property damage but also accidental damages or losses caused to your vehicle.
There are various insurance policies also, like marine insurance, trade credit insurance, etc.; which you can also consider buying as per your needs.
You might have chalked out some goals for your business. However, life is uncertain, and you can’t predict how things will turn in the next moment. So, having the right set of insurance policies is inevitable to avoid a financial loss that may incur due to a catastrophic event.
In case you are confused on which insurance policies to choose for your manufacturing business, you should approach the corporate insurance advisors like Secure Now which can give you expert advice on the right insurance policy as per your business and can also help you compare and choose the right insurance policy.
Remember, your business is the result of your hard work so don’t let it affect by any calamity!