Insurance for Machinery Manufacturers

Establishments in this industry specialize in the manufacturing of machinery and equipment. This includes the manufacturing of turbines, generators, telephony equipment such as fax machines, local area network (LAN) communications equipment, and toll switching equipment, small arms and ammunition, farm equipment, food production equipment and many other types of large and small-scale machinery. Establishments involved in this industry include those that specialize in mining equipment, metalworking, and plastic working equipment as well as various other commercial and industrial tools.

Machinery manufacturers need insurance to protect the business from the unique risks it might face. These risks could end up placing a dent in your business and even personal assets, so insurance is needed. Insurance will pay for the covered risks so you don’t have to, and all it takes is a small monthly fee.

The most costly risk machine manufacturers face is a product recall. When most of the products you manufacture are defective, you’ll have to pay for the expense of recalling these products. Below are some more:

• A piece of equipment that aids in machinery manufacturing has malfunctioned. This reduces your production level, reducing the number of machinery that can be produced on that day.
• The specifications of the machinery you provided to your clients have caused them financial harm because the measurement differed from what was expected. You’ll risk facing a trial if your client sues your business.

There is no fixed cost of insurance for machinery manufacturers. However, most insurance carriers will rely mostly on the size of your business and the coverage required to determine the cost of your insurance policy. To find out the cost of insurance for your business, apply online to get a free quote or contact our insurance experts.