The Importance of Manufacturers Insurance in Eastern Ontario
If you run a manufacturing or fabrication business in Eastern Ontario, your insurance needs are much different than businesses like local retail shops, restaurants, or garages. When you buy insurance policies you might get by with basic coverage, but this can leave you open to some major risks. Take the case of John W. for example:
John worked in a machine shop for many years and decided to start up his own business one day. Although he began small, before long he had many customers and clients. Several automotive services used his machine shop for many of their jobs. Plus, he managed to secure business with two pro shops that specialized in high performance modifications.
John worked hard to make sure his machine shop was efficient and profitable. He carefully screened potential employees before hiring and periodically performed his own efficiency audits. During his latest audit he thought about ways to save money on his Manufacturers Insurance. He considered raising his deductible amount and dropping "loss of income" insurance. However, he first decided to discuss the matter with his insurance specialist. This was a man that John trusted because he had actual experience in the industry and new all about Commercial Insurance.
John made an appointment for an insurance review and discussed his needs at length with his insurance person. When they got to the subject of "loss of income" coverage, John's insurance broker told him about two local businesses that lived to regret not having this coverage. John decided that it was in his best interest to keep the coverage, and it was one of the smartest decisions he ever made.
Just two months after John talked to his insurance specialist, a large storm swept through the region and caused significant damage to his shop. Not only did his insurance company pay for all the damages, but he also received money to compensate him for his loss of income. Since it was over a month before he was back in business, the insurance was a life saver.
What is Manufacturing Insurance?
Manufacturing coverage is designed to meet the risks that certain businesses face. These are businesses that assemble or manufacture products, or produce specialty items for customers.
Who Needs Manufacturer Insurance?
This type of coverage is not just for factories. If you are in the business of making or assembling things you are a manufacturer, and you need to insure your company against a wide variety of risk factors. The following businesses should consider Manufacturers Insurance coverage:
Can I Get By With Basic Coverage?
It's possible to get by with basic insurance, but you may be taking far more risks than you imagine. Here are the basics that most manufacturers should think about:
- General liability Insurance - protection against personal injury claims
- Commercial Property Insurance - this protects your structure, interior, exterior, and certain features like fences, signs, and windows.
- Contents - even if you rent, you still need to insure the contents.
Manufacturing Insurance Options
Your options depend on the kind of business you operate, and it's best to talk to an insurance professional about the available options. Here are some you can choose from:
- Vehicle Insurance - you may need special coverage if you operate a fleet of vehicles.
- Inland marine coverage - this covers your cargo while in transit, and is separate from standard vehicle insurance.
- Warehouseman legal liability
- Errors and Omissions - this is very important liability insurance if you manufacture or assemble products. If there is a design flaw or an employee does not properly assemble a product, it could result in injury to the consumer and your E&O coverage will handle this.
- Business interruption coverage
- Equipment breakdown coverage
- Named peril coverage - this kind of hazard insurance covers only the incidents listed in the policy, but it can be very important for including hazards like floods, earthquakes, tornadoes, and sewer backups.
The Value of Experienced Manufacturer Insurance Professionals
When you have an experienced insurance professional on your side, you own an extremely valuable business asset. Your insurance professional can provide you with expert advice that can make the difference between failure and success, in some cases. Upper Canada Commercial Insurance Group Inc has 40 insurance specialists and three convenient locations to serve you.
Upper Canada Commercial Insurance Group Inc is a well-known insurance brokerage with access to many top insurance companies. We help you get the best Manufacturing Insurance policy and the lowest rates in Eastern Ontario. We check out your business insurance needs, and do the comparison shopping on your behalf. This makes your job much easier.