If your business is searching for manufacturer insurance in Orlando, how do you know what kind of insurance your business needs? Most manufacturing companies face unique risks in development and shipment of their products. Some types of insurance are required in Florida. Any business with over four employees who are not owners or proprietors should have workers compensation insurance. Florida also requires business vehicles with four or more wheels to have commercial auto insurance. If your company transports products from state to state, there are special insurance requirements that vary depending on the type of shipment.
Though other types of insurance are not required, most manufacturing businesses face many risks that have the potential to cause accidents or injuries that might harm your company’s reputation. General liability insurance can protect your business by covering injuries and property damage. Product liability insurance is particularly important to manufacturing businesses in case of damage or loss to stock. Equipment breakdown insurance can cover the cost to repair or replace equipment that stops working due to mechanical or electrical breakdown. Business interruption insurance covers your business during an outage or disaster. There are many other types of insurance for a variety of risks that your manufacturing business might face. A qualified insurance professional can help you find the manufacturer insurance in Orlando that you need.
Errors and omissions insurance can be essential for a manufacturing business in Florida. If your business needs Orlando manufacturer insurance, you should consider errors and omissions insurance an important part of your insurance policy. Errors and omissions insurance will cover any financial damages from litigation if there is any error or negligence in the design or manufacture of your products or parts. There are several types of negligence that might require errors and omissions coverage. This negligence could be a design flaw, material or component failure, a manufacturing error, an error in installation of the product, or even a failure to deliver the product as promised. These errors could cause your products to break and the failure of other equipment.
Errors and omissions insurance is different from liability insurance because an injury or accident happened because of your company made the product. The error in design or manufacturing makes your company becomes liable for the financial damages. General liability insurance usually only covers bodily injury and property damage and does not cover other types of losses. Errors and omissions insurance can cover the financial damages of your customer as well as your legal costs. An insurance professional can develop a policy for Orlando manufacturer insurance that has the right level of errors and omissions insurance for your business.
When you’re a company that relies on shipments of goods or parts from somewhere else, you can be subject to some significant losses if something happens to that shipment along the way. By understanding those losses and knowing how to protect yourself from them, you can make the right choice for your business. Options like freight insurance, for example, can help keep your business whole when the unexpected occurs.
When a shipment is damaged, either all or in part, there can be a significant cost involved in replacing what was lost. Time is often of the essence, so extra charges for rush orders and express shipping or freight charges can increase that substantially in many cases.
2. Production or Delivery Time
Whether it’s parts needed for manufacturing or goods sold directly to a customer, when your shipment is lost to damage or theft you can’t deliver your products on time. In a retail environment, it means empty shelves which, of course, lowers sales.
3. Customer Satisfaction
When customers don’t get what you promised them on time, it creates a negative customer experience that can harm your reputation and chance for repeat business. It can also lead to the kind of word-of-mouth advertising that no business wants.
Considering freight insurance is a smart way to protect against the costly risks to your business when vehicle accidents, natural disasters, theft or other factors cause a partial or total loss of goods.