Manufacturing
The manufacturing sector is a cornerstone of the Australian economy, involving complex operations, significant investments in machinery and premises, and intricate supply chains. While industry regulations set essential standards, they alone may not shield your business from the financial fallout of unforeseen events. Adroit Insurance & Risk understands the unique challenges faced by Australian manufacturers and offers specialised manufacturing insurance solutions intended to help protect your operations, assets, and future.
Why is Manufacturing Insurance Crucial For Your Business?
Manufacturing businesses in Australia face a multitude of risks daily. From the breakdown of critical machinery to liability claims arising from product defects, the potential for financial loss is significant. Comprehensive manufacturing insurance is not just a safety net; it’s a strategic tool to: Protect Your Assets
Protect Your Assets
Safeguard your factory, equipment, raw materials, and finished goods against damage, theft, or loss from insured events like fire, storms, or accidental damage.
Manage Liabilities
Policies can be arranged to assist with managing potential legal costs and compensation claims if your products cause injury or damage (Product Liability), or if third parties are injured on your premises (Public Liability).
Support Business Continuity
Mitigate the financial impact of operational shutdowns due to insured events with Business Interruption insurance, helping cover lost income and ongoing expenses.
Meet Legal Obligations
Certain insurances like Workers’ Compensation, are mandatory. These policies provide certain benefits to protect your employees while fulfilling your legal duties.
Safeguard Management
Management Liability insurance can protect directors and officers from personal liability arising from their managerial decisions. As well as employee harassment/discrimination claims and investigations from a Government authority following an employee’s injury at work.
What Can Manufacturing Insurance Cover?
A robust manufacturing insurance package is tailored to the specific needs of your business. At Adroit, we work with you to identify your key risks and structure a policy that typically includes a combination of the following covers:
Product Liability Insurance
Essential for manufacturers, this is designed to address claims for personal injury or property damage caused by products you have manufactured, supplied, or sold.
Public Liability Insurance
Is designed to provide cover for your business if a third party (like a customer, supplier, or member of the public) is injured or their property is damaged on your premises due to your business activities.
Property Insurance
Can provide cover for your physical assets, including buildings, contents, stock, and plant and machinery, against loss or damage from specified events such as fire, storms, impact, and malicious damage. Learn more about property insurance.
Machinery Breakdown Insurance
Can provide cover for the cost of repairing or replacing critical machinery and unregistered plant & machinery following a breakdown, as well as loss of income following a breakdown which can be vital for maintaining production schedules.
Business Interruption Cover
It is designed to help compensate for lost gross profit or revenue and increased operational costs if your business is interrupted by an insured event (e.g., fire damaging your factory).
Workers’ Compensation
Provides certain statutory benefits like cover for medical expenses, lost wages, disability and or death benefits for your employees if they are injured at work or become ill as a result of their duties or work.
Professional Indemnity Insurance
If your manufacturing process includes design, advice, or other professional services, Professional Indemnity insurance can cover claims arising from errors or omissions in these services.
Cyber Protection Insurance
In an increasingly digital world, cyber protection insurance is vital and can assist in covering certain losses from data breaches, cyberattacks, and system interruptions.
Commercial Motor Vehicle Insurance
If your business owns or operates vehicles for transport or delivery, motor vehicle insurance is necessary.
Goods in Transit Insurance
It is designed to provide cover for your raw materials or finished products against loss or damage while being transported by road, rail, air, or sea.
Management Liability Insurance
It is designed to provide cover for directors, officers, and the company itself against claims of wrongful acts in managing the business, including employment practices liability and statutory liability.
Key Risks Faced by Manufacturers
The manufacturing industry is exposed to a unique set of risks that robust insurance can help mitigate:
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- Product Malfunctions & Defects: Leading to potential injury to consumers or damage to their property.
- Premises Liability: Accidents involving visitors or staff on your site.
- Equipment Failure: Breakdowns of essential machinery can halt production and lead to significant losses.
- Workplace Accidents: Injuries to employees during the manufacturing process.
- Supply Chain Disruptions: Delays or failures in the supply chain impacting your ability to produce or deliver.
- Fire, Flood, and Other Perils: Damage to your factory, equipment, and stock.
- Cyber Threats: Data breaches, ransomware attacks, and system failures.
- Product Recalls: The significant costs associated with recalling a faulty or dangerous product.
Who Needs Manufacturing Insurance?
If your business is involved in the creation, assembly, or processing of goods, you need specialised manufacturing insurance. This applies to a wide range of sectors, including:
- Food and Beverage Production
- Metal Fabrication and Engineering
- Plastics and Chemical Manufacturing
- Textiles and Clothing
- Machinery and Equipment Manufacturing
- Electronics and Component Assembly
- Building Material Production (like hardware and
timber suppliers) - And many other specialist industries.
Whether you’re a large-scale operation or a small business in manufacturing, having the right cover is essential.
How Adroit Insurance & Risk Can Help
Navigating the complexities of manufacturing insurance requires expert guidance. The team members at Adroit Insurance & Risk are experienced insurance brokers who take the time to understand your specific manufacturing processes, risks, and business objectives.
We offer:
Tailored Solutions
We don’t believe in one-size-fits-all. We work with you to customise a business insurance package that addresses your unique manufacturing risks.
Market Access
We have access to a wide range of specialist insurers, ensuring we can find competitive terms and comprehensive cover.
Risk Management Advice
Beyond just insurance, we can provide insights into managing and mitigating risks within your operations.
Claims Support
In the event of a claim, our dedicated team can advocate on your behalf to assist in seeking a fair and prompt settlement.
Don’t leave your manufacturing business exposed. Partner with Adroit Insurance & Risk to explore the insurance options that can help you with confidence.
Contact us today for a comprehensive review of your manufacturing insurance needs.
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