Manufacturing Insurance

Manufacturing Insurance

Manufacturing can involve complex and extensive processes which require specialist insurance to protect against the risks that are faced on a daily basis. The Yorkshire Broker understand that no two manufacturing businesses are the same and are vulnerable to risks to property and machinery such as fires, floods, breakdowns, theft or more. It is also important to cover the risks that come with supplying goods to customers and visitors. If you have ever wondered what manufacturing insurance is and why you need it, read on to find out how The Yorkshire Broker could help.

What is Manufacturing Insurance?

A manufacturing insurance policy is designed to incorporate several types of cover to ensure comprehensive protection for your business. Manufacturing insurance can be tailored to a business’ individual needs – making your insurance just as unique as your business is.

What does Manufacturing Insurance cover?

Manufacturing insurance usually covers your building, machinery, stock and raw materials, as well as your staff, clients and other trading activities. 

Your machinery is a key cog in the workings of your business and if something were to happen, this could potentially have a major impact on the running of your business. Manufacturing insurance can protect your machinery against fire, theft, flood damage and other perils.The Yorkshire Broker are even able to arrange inspection and breakdown cover which will assist in the maintenance and upkeep of your machinery, which will minimise the risk of anything going wrong. 

In summary, manufacturing insurance can be arranged to cover every aspect of your company from staff to the products you make and distribute. Different levels of cover can vary and policies can be arranged to include protection against a range of risks.

What Manufacturing Insurance do I need?

If you import and distribute goods that are manufactured from outside of the UK it is essential that you understand the different manufacturing standards around the world and how these will apply for your companies. Manufacturing insurance will help to give your business the protection it deserves.

Types Of Manufacturing Business Insurance Policies

There is a range of different types of manufacturing insurance covers that you could consider for your business. These include:

  • Commercial buildings insurance: Do you own your own office premises? If so, you’ll need to arrange for cover in the event of perils such as flooding, fire, bad weather or theft. This type of policy covers permanent fixtures and you’ll be able to claim for a total rebuild as well as repairs.
  • Commercial contents insurance: This insurance provides cover for the contents of your premises, such as chairs, desks, computers and any other equipment. Contents insurance will provide cover for any damage or theft, and it’s important to ensure that you have calculated the total cost of this correctly – if the worst were to happen and you have under-insured, you could be left out of pocket. It is worth noting, specialist machinery would be covered under a specific section of a policy.
  • Stock and raw materials: It’s likely that stock levels will fluctuate – seasonality, customer demand, even currency fluctuations are likely to affect your own purchasing patterns. 
  • Specialist engineering/machinery cover: This policy provides insurance cover for the loss of or damage to machinery during specified moving operations. 
  • Public liability insurance: Provides protection if your activities kill or injure a member of the public or damage their property. For example, if someone slips over in your production as a result of the floor being wet, this will give you some protection in the event of a claim.
  • Products liability cover: Provides cover if an individual suffers damage or injury as a result of a product that you designed or produced.
  • Employers’ liability insurance: This is a legal requirement if you employ any member of staff. The minimum protection is £5m, which will cover the cost of compensation claims if they get injured or ill at work. 
  • Business interruption: Provides cover for financial losses if your business can’t operate from its premises as normal as a result events such as a fire, major theft or a flood.
  • Engineering Inspection: Ensures that you keep any machinery and equipment in full working order, so that it is safe to use. The insurance ensures that inspections are carried out regularly by a competent engineer and are arranged for you by your insurer.
  • Legal Expenses: Cover in the event of employment disputes, legal defence costs, contract disputes, Tax, VAT, PAYE and NIC investigations and more.
  • Fleet and commercial vehicle insurance: Do you use a van as part of your work? Then you will need to ensure that you have the correct amount of van insurance in place to cover you whilst driving it.
  • Directors and Officers Insurance: Directors’ and officers’ insurance (also known as D&O insurance or management liability insurance) will protect your business if a claim is made directly against the directors and officers of your company. Even if you’re the owner of a limited company, personal claims can still be made against you, and therefore a D&O insurance policy can provide invaluable protection.
  • Cyber insurance: Provides cover against data breaches or cyber hacks that affect your computer systems and networks.
  • Marine cargo insurance: Provides cover against loss or damage to goods whilst being transported worldwide by road, rail, sea or air. It can also cover goods whilst held in storage within the UK.

These are just examples of some of the types of manufacturing insurance policies that we look after at The Yorkshire Broker. As we know that no two businesses are the same, speak to us today to find out which policies will best meet your needs.

The cost of Manufacturing Insurance

Manufacturing insurance cost can depend on the type of manufacturing business you own. The premium you pay will depend on several factors which include the size of your business, the type of machinery you use and other characteristics of the business. 

Although manufacturing insurance may be another cost for your business, just think about how much you could be forced to pay in the event of a successful compensation claim or a costly theft. Would you be able to continue trading as a result?

It is crucial to ensure that you are properly protected in the event of an incident occurring. With that in mind, at The Yorkshire Broker we will take the time to understand the specific needs of your business and recommend the amount of cover that is best suited to you.

What Else Do I Need To Know About Manufacturing Insurance?

Depending on what you manufacturer there may be environmental liabilities to consider. Outside of what happens inside of the factory, you may need to consider insurance for your goods as they are being delivered to customers. Every manufacturing business is slightly different and getting the right manufacturer’s insurance policy in place does mean finding the correct types and level of cover for you.

How can I get Manufacturing insurance?

Here at The Yorkshire Broker we are the manufacturing insurance experts. We understand that manufacturing companies face unique risks and challenges on a day to day basis, and that you need bespoke insurance that works for you and gives your business the level of cover that you require.

Give your business the protection that it deserves today – if you want to find out how much peace of mind costs, contact The Yorkshire Broker by calling: 01924 929070.

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