How do you protect yourself, your employees, and your business from the risks you face daily? You most likely already implement safety procedures and policies to keep everyone safe. You also probably have checks and balances in place to safeguard your business from cyberattacks, employee lawsuits, and more. Unfortunately, there are always things that are out of our control, this is where insurance comes in. The right insurance package can make sure you are protected when the unexpected happens.

Insurance can be complicated with an extensive list of coverage options. Let’s review some of the important coverages you should consider.

Business Owner’s Policy (BOP)

Working to combine three of the more vital coverages, a business owner’s policy typically includes the following coverages:

  • General Liability. This coverage helps to cover lawsuits resulting from an injury or property damage caused by your business. It also helps to cover slander and libel claims.
  • Commercial Property. This coverage helps to protect your place of business and the tools and equipment you own, whether you own or lease them.
  • Business Income. This coverage helps you pay for your loss of income and allows you to continue covering payroll expenses if a covered peril temporarily closes your operation.

Cyber Liability Insurance

Manufacturing businesses often store information about their processes, employees, and clients. If this information were ever compromised in a data breach, it would be very costly to manage the fallout. In addition, cyber-attacks such as ransomware and phishing emails are becoming more common every day. Small and large businesses alike are at risk. Cyber liability insurance can help protect your business when it comes to covering the costs associated with these types of attacks.

Product Recall and Replacement Coverage

Product recalls or replacements happen all the time. A product has a flaw that was not discovered until after shipping, materials you used to create a product themselves become recalled, etc. Product recall and replacement coverage can help cover the costs associated with issuing the recall, overseeing the replacements, and other costs that may arise from a covered loss.

Workers’ Compensation Insurance

Most states require workers’ compensation insurance, but even if yours does not, it is a good business decision. Workers’ compensation insurance provides coverage if an employee has a work-related injury or illness. It can help cover the cost of medical care, wages from lost work time, and even lawsuits that occur from the injury or illness.

Employment Practices Liability Insurance (EPLI)

Manufacturing businesses face employment practices lawsuits from wrongful termination to retaliation and everything in between. Unfortunately, you never know when an employee may decide to sue. This coverage is there to help protect you and your business from the financial burden these types of lawsuits bring.

Other Coverages to Consider

In addition to these coverages, you may want to consider the following:

  • Commercial Auto Insurance. Do you or your employees use your personal vehicles to meet clients, attend conferences, or transport tools or supplies? If so, these activities aren’t covered under your personal auto insurance policies, and it would be beneficial to consider getting commercial auto coverage for these occurrences. This coverage could also protect any company vehicles your business may have.
  • Umbrella Policy. Some losses can get so big that they exceed your coverage limits. Take for example, your policies are triggered by a mass injury event that results in high medical and legal costs. An umbrella policy is there to provide extended coverage beyond what your traditional policy includes.
  • Errors and Omissions (E&O). If your business provides parts for another manufacturer or business and a loss occurs as a result of an issue with the part you provide, you could be held liable. This coverage helps to protect your business against the financial loss of such claims.

Every manufacturing business faces unique risks. A manufacturing business that focuses on forging will have different tools and materials than one that focuses on engraving, both posing different risks. Unique risks mean that your manufacturing business needs insurance that is specific to your operation.

Your business is manufacturing, you should not have to be an insurance expert as well. Gannon Associates Insurance is here to help! We know how complicated insurance can be, we will take the time to get to know your business and work with our insurance carrier partners – some of the most trusted names in the industry – to find a plan that works for your needs and budget.