Manufacturer Insurance

Manufacturer insurance also known as product liability insurance is an insurance policy that safeguards manufacturers from financial losses due to major or minor damages, injuries or losses which emerge from the usage of their products.Manufacturer insurance helps to provide protection against:

• product liability claims  
• product-related risks 
• product recalls
• property damage 
• business interruption
• and other risks involved with the manufacturing process.

This insurance covers all legal fees, judgements or settlements that may result due to damages or injuries that are caused to the manufactured products. It can be due to anything from a faulty product that caused harm to the consumer in some way to financial burden of legal defense costs and damages awarded to the claimant in the event of a lawsuit.

Manufacturer insurance is vital for every business that produces or sells its products to consumers.

CHES Special Risk

offers insurance solutions specific to manufacturers.
We have a team of experienced underwriters who specialize in understanding the unique risks faced by manufacturers and can provide tailored insurance solutions to address those risks.

Manufacturer insurance offers coverage for various potential risks and liabilities that emerge from the production and distribution of products. Some types of coverage that manufacturer insurance provides are:

• Product liability coverage: It helps protect manufacturers against claims of physical injury or property damage by a product they sold.   
• Completed operations coverage: It covers damages and injuries caused by a company’s work or product after it has been completed or delivered. 
• Premises liability coverage: It is a type of insurance that provides protection to a business owner or property owner against liability for injuries or property damage that occur on their premises  
• Business interruption coverage: It helps to protect against a claim of lost income and expenses which occurred from a covered event, causing a brief shutdown of the manufacturing operation. 
• Workers’ compensation coverage: It is a type of insurance that provides benefits to employees who are injured or fall sick while working or as a result of their job
• Property coverage: It provides protection for property damage and loss of income resulting from damage to the manufacturer’s property such as buildings, equipment, inventory, and raw materials.

Reach out to the CHES underwriter to request a quote.

• Product liability: In the event that the product of a company causes harm to a user or damages their property, the manufacturer can be subjected to damages. Manufacturer insurance can help to cover most legal defenses, judgements or settlements that emerge from product liability claims.  
• Property damage: Manufacturers can also experience property damage risks from different occurrences, including natural disasters, accidents or even theft. Manufacturer Insurance can cover repairing or changing damaged equipment or other amenities.
• Business interruption: Impeding manufacturing operations due to equipment breakdown, natural disasters, or more, causing major financial losses. Manufacturer insurance helps offer coverage for all the lost income, expenses, and other costs related to business interruption.
• Cyber liability: Manufacturers have become truly vulnerable to cyber threats, including data breaches or hacking attacks. Cyber liability insurance can provide coverage for data recovery, legally required expenses, or notification costs.
• Workers’ compensation: Manufacturing operations surround several risks to its employees, including injuries from exposure to hazardous substances, or other physical damages. Workers’ compensation insurance provides support for medical expenses, lost wages, and disability benefits for injured employees.

A financial guarantee can be provided by CHES Special Risk. The MGA offers financial cover when the business derails due to unavoidable circumstances, causing a halt in its operations. Send in your submissions for a quick quote from CHES underwriters!

Insurance premiums for manufacturers can differ from other types of businesses due to the unique risks associated with the manufacturing industry. Manufacturers often deal with heavy machinery, hazardous materials, and a higher risk of workplace injuries or accidents. As a result, insurance premiums for manufacturers may be higher than those for other types of businesses.

Manufacturers may also have different insurance needs than other types of businesses. For example, they may need product liability insurance to protect against claims related to product defects, whereas a service-based business may not have the same level of product liability risk. Additionally, manufacturers may need to carry environmental liability insurance to protect against claims related to pollution or contamination, which may not be a concern for other types of businesses.

Overall, insurance premiums for manufacturers can vary depending on the size of the business, the types of products produced, the level of risk associated with the manufacturing process, and other factors.

Underwriters at CHES Special Risk evaluate risks, provide tailored coverage with a quick turnaround time, and offer competitive policies for manufacturers.

Brokers should consider several factors when selecting an insurance provider for their manufacturing clients, including:

• Experience with manufacturing risks  
• Customized coverage options 
•  Expert Underwriters
• Reputation in the industry 
•  Accessibility

Each of these factors can play a role in ensuring that manufacturing clients are adequately covered and can mitigate risks effectively. CHES Special Risk is a 5 STAR award winning MGA armed with all the above listed capabilities.

Brokers can help their manufacturing clients reduce their insurance risks and costs by taking the following steps:

•  Risk assessment: Brokers can conduct a thorough risk assessment to identify potential risks and recommend strategies to mitigate them.  
• Loss control: Brokers can work with their clients to implement loss control measures, such as safety training programs and equipment maintenance protocols, to minimize the likelihood of accidents and losses. 
•  Claims management: Brokers can assist their clients with claims management, providing guidance on how to properly document and report claims to help reduce the cost of claims and the impact on premiums. 
•  Carrier selection: Brokers can help their clients select carriers that specialize in manufacturing risks, have strong financial ratings, and offer competitive pricing. CHES Special Risk should be brokers preferred choice to write and win business. CHES provides customized business insurance for manufacturing customers and offers support to meet their specific needs.
•  Policy review: Brokers can review policies annually to ensure coverage is up-to-date and appropriate for the client’s needs. 
• Education: Brokers should provide education and resources to help clients understand their insurance coverage and the risks associated with their operations.

Brokers can be valuable partners for their manufacturing clients by providing expertise, resources, and support to help reduce insurance risks and costs.

The outcome of claims and lawsuits involving manufacturing clients can vary widely depending on the specifics of each case. Generally speaking, claims and lawsuits involving manufacturing clients can involve product defects, liability claims, intellectual property disputes, and employment-related claims, among other issues. These cases can be complex, time-consuming, and costly for all parties involved.

As a broker, there are several ways you can best support your manufacturing clients in such situations:

• Help your clients understand the risks they face: It’s important to educate your manufacturing clients about the risks they may face and how they can best protect themselves. This includes reviewing their insurance coverage and advising them on additional policies they may need to mitigate their risks.
  
• Assist in managing claims: If a claim is filed against your client, work closely with them to manage the claim and ensure that it is handled appropriately. This includes communicating with the insurer, gathering evidence, and negotiating a settlement if necessary.
• Provide risk management advice: Work with your client to identify and mitigate potential risks before they turn into claims. This may involve reviewing their manufacturing processes, training employees, and implementing best practices to reduce the risk of accidents and other incidents.
• Stay up-to-date on industry developments: Manufacturing is a constantly evolving industry, and new risks and challenges arise regularly. As a broker, it’s important to stay up-to-date on industry trends, regulations, and best practices to ensure you can provide your clients with the most relevant and effective advice.
• Help your clients understand the legal process: Claims and lawsuits can be confusing and intimidating for manufacturing clients. As their broker, it’s important to help them understand the legal process, the potential outcomes of a case, and what they can do to protect themselves.

At CHES Special Risk, we provide tailored insurance solutions and curated risk management services for manufacturers along with several high-risk industries.