Plastic Manufacturers Insurance
Insurance for the Plastic Manufacturing Industry
Plastic Manufacturers Insurance
Plastics manufacturer’s insurance can provide a wide range of covers. It protects your business premises against the costs of claims such as Fire, Storm damage, Flood as well as theft, and other perils. Essential business protection including Public Liability Insurance, should there be an injury to a third party or Product Liability Insurance where your product causing damage, loss or injury.
Plastics are all around us, whether made from PET for the food and drinks industry or PVC for anything from building products to automotive to specialist plastics used in the medical and electronics sectors.
Plastics Manufacturing processes can vary depending on what your business produces, from plastic injection moulding, blow moulding or vacuum moulding to much larger projects manufactured by rotational moulding. Plastic manufacturer’s insurance is essential, not only to protect the assets but also to provide a defence to the business.
What is Plastic Manufacturers Insurance?
Plastics Manufacturers Insurance has many cover sections, so the cover can be purchased that is specific to your business. Some insurers have specific policies that provide specialist covers for companies that carry out a Plastic manufacturing process. These types of policies are ideal for a broad spectrum of manufacturing services.
Many processes or product types are used to manufacture plastic products; Plastic Injection Moulding insurance, for example, will protect costly tooling and the machinery to produce the products. Plastic Extrusion manufacturers may have a wide selection of raw materials; some policies provide inflation cover for such items as polymers.
What cover is provided in a Plastic Manufacturer’s Insurance Policy?
Insurance for any manufacturer needs to be tailored to precisely the covers the business requires. It’s always advisable to obtain an insurance policy with covers designed for the sector it is intended for, saving valuable time and potential uncertainty as to whether you have the correct cover in place.
A Plastic Injection Moulding business, a Rotational Moulder or Plastic Extruders all work from business premises. Every day these businesses are exposed to many risks. The weather is a typical example of where a storm or flood can cause extensive damage. Firms in the plastics industry can have more significant exposure to fire, given the processes or the types of plastics used.
A comprehensive business insurance policy can protect you against these types of exposures, ensuring that should the worst happen, your machinery and plant and all the other business assets are fully covered. Often the tooling you have needs to be insured; who owns the tooling, the business or the customer? A fire can easily cause damage, so the company must carefully consider the replacement costs of tooling and similar items. Stock insurance will cover all the raw materials, the products in hand, and the finished items.
Suppose the worst happens, a flood, for instance; insurance is essential to protect the business and works in two ways, to ensure that the business is quickly rebuilt should the premises be damaged. Business Interruption will cover overheads such as wages that need to be paid. Also, even though the business has been rebuilt, there is still a period to get customers back; it’s essential that cover is provided in a policy to ensure the period is long enough. This period is referred to as an indemnity period; this is critical and should be discussed with us.
Tooling isn’t made overnight, so things like lead-in times need to be understood; what happens if you make thousands of the same product for one customer and the tooling gets damaged, whilst a plastic manufactures insurance policy having business interruption cover will help? What are contingency plans in hand to continue manufacturing the product?
All these questions must be thoroughly investigated to ensure that a robust plastics business insurance policy will respond fully in the event of a loss.
Other available covers are Goods in Transit Insurance – essential when your goods are transported around the country.
Inspection and Machinery Breakdown –Inspection for many items in a plastics business is required by law where there is compressed air or the use of a forklift truck, amongst other items of pressure or lifted plant.
Machinery Breakdown is a cover that should always be considered. Machinery Breakdown Insurance is designed to get the business working as soon as possible. Engineering Business Interruption can also be included where there is significant downtime due to a broken machine.
Liability Insurance for businesses that manufacture plastic products
Public Liability will cover a business against negligence caused to a member of the public; this might be a customer that comes to your premises and slips or trips, causing injury or loss. Equally, a fire breaks out at your premises that causes an interruption to a neighbouring business.
When manufacturing products, even with the most modern machinery and the latest technology, a product could still cause loss or damage to its user, even worse when the Plastic component that you have manufactured fails, causing damage to the main item; this could prove costly. Product liability insurance for a plastics business is essential, paying the legal defence costs and any compensatory payments should you be found negligent in its production.
Most businesses have employees, and where they do, Employer’s Liability is not only essential, it’s a legal requirement. Should one of your employees become injured during their work, then the insurance policy will respond, paying the necessary legal costs and any compensation that may be payable to the employee.
What risks are involved in a plastics manufacturing business?
Any manufacturing business carries a certain amount of risk, but some are exposed more than others. Companies manufacturing plastics and plastic products use many products that can be hazardous to health.
Having robust Health & Safety practices in the business can not only help to save on premium, with the potential for Plastic fumes, some plastics themselves having a degree of toxicity as well as chemicals used means that maintaining ongoing workspace assessments is essential.
Insurers look for quality-managed businesses in sectors such as the plastics industry; this means complying with all relevant Health & Safety requirements, COSHH, LOLER, PUWER, LEV and, of course, even the most basic of HSE requirements.
Why deal with Real Insurance for your Plastic Manufacturers Insurance?
Real Insurance Group Ltd are specialist Commercial Insurance Brokers, we specialise in many industry sectors, we have excellent relationships with our insurer partners which are all UK based and have A ratings, this enables us to source quality plastics manufacturers insurance at competitive premiums for your business.
All our staff are experienced insurance professionals having worked in the industry for many years, and above all we are not a call centre, we can discuss your individual requirements and can advise on the best way forward with your insurance.
