The manufacturing industry may seem older and more established, but today, there are new companies changing the way companies make products. These new, startup manufacturing companies are using more technology and fewer workers. Many of them are closer to large population centers to make delivery easy. Some even produce a product when a customer buys it, eliminating the need for large amounts of goods. Yet, these companies have risks. Business insurance can help. Here are some ways.
Protecting Your Technology
One of the most important forms of business insurance today for these businesses is technology protection. Your computer systems can be a high-value investment you make to operate your company. Your standard property insurance can help cover this equipment. Because many manufacturing companies use state-of-the-art equipment enhanced with technology, they may need a higher dollar value policy, however. Other items might need specific policies targeted directly to them.
Alongside the protection of your computer systems and tech is the protection of your actual manufacturing equipment. Startups may find this to be critical. Because your company is new, a loss of a key system could mean you cannot continue to operate. Having business insurance to minimize these risks is essential. You might also benefit from equipment breakdown insurance. This coverage can help you cover repairs to critical systems.
Startup manufacturing may involve fewer employees. It may even mean less risk of human error. Yet, there are always liability risks for companies. Minimize against them with a comprehensive liability insurance plan. It should provide ample protection for your business’s risks. Work with your agent to select the right value.
Other Key Insurance Products for Businesses in Manufacturing
Your manufacturing company needs to have more advanced insurance that fits your risks. Some key types of additional coverage you may need include:
- Commercial vehicle insurance if your company owns and operates trucks or cars
- Key person insurance to cover company executives that are vital to your operation
- Cyber liability insurance to minimize losses related to cybercrime
- Umbrella liability insurance to extend your protections for claims made against the company
- Workers’ compensation insurance to cover injuries related to employees
What business insurance do you need? As a startup manufacturer, you need a customized solution designed for your company’s risks. Work with your agent to get a better idea of what those risks are. Choose a policy that reflects your assets, too. You don’t want to suffer downtime due to an accident because of a lack of insurance coverage.