Business interruption insurance

In case a crisis stops your manufacturing premises from operating.

What’s typically covered by business interruption insurance?

• lost profit, revenue, or rent following damage to your premises
• increases in the cost of working

For example:

• a fire breaks out overnight in your premises, causing extensive damage which prevents you operating the next day
• flooding over the Christmas break forces you to close your manufacturing premises for three weeks

What isn’t covered?

• collapse or cracking of buildings
• vehicles required to be licensed for road use, including accessories
• disruption caused by changes in the water table, subsidence, ground heave, or landslip (unless specifically agreed in your policy document)

Other exclusions apply – read the policy documents carefully to be clear on what is and isn’t covered.

Deterioration of refrigerated stock

In case a failure or fault causes refrigerated or frozen stock to deteriorate.

What’s typically covered by deterioration of refrigerated stock insurance?

• damage to frozen or refrigerated stock
• mechanical breakdown or accidental failure of electricity to freezers and refrigerators
• seasonal stock increase, during specific periods

For example:

• two of your fridges develop a fault and break down, causing several units of fresh produce to go bad
• following a bad storm, an electricity failure to your freezer unit loses a customer’s entire stock of frozen produce

What isn’t covered?

• equipment and units which haven’t been serviced or maintained in accordance with your policy document
• damage caused by any wilful act or neglect by you or any employee
• damage caused by faulty packaging or stowage
• any form of normal trade loss, or damage caused by inherent defect

Employee theft insurance

In case an employee steals from your business.

What’s typically covered by employee theft insurance?

• money or property theft arising from employee fraud or dishonesty
• auditor fees incurred while substantiating the amount of loss
• costs for rewriting or amending computer software programs or security codes, to prevent recurrent theft

For example:

• two employees steal a large shipment of manufacturing parts from your premises
• you need to pay an auditor to confirm the amount of money stolen by one of your duty managers over a six month period

What isn’t covered?

• unexplained shortages
• loss of interest or consequential loss
• loss caused by employees before your cover started

Other exclusions apply – read the policy documents carefully to be clear on what is and isn’t covered.

Equipment breakdown insurance

In case there’s a problem with your equipment.

What’s typically covered by equipment breakdown insurance?

• accidents and breakdowns involving equipment covered under the property damage section of your policy
• insured items typically covered up to £5 million

What isn’t covered?

• loss or damage caused by a pneumatic or gas pressure test of any boiler or pressure vessel, or an insulation breakdown test on electrical equipment
• damage which you can recover under your maintenance agreement, warranty or guarantee
• biomass, biogas and hydroelectric installations

Other exclusions apply – read the policy documents carefully to be clear on what is and isn’t covered.

Some insurers won’t cover certain items, unless they’re specifically agreed in your policy (for example, your manufacturing equipment). You’ll usually need to select property damage insurance and/or specified all risks insurance when building your policy, to get the right cover for your equipment and property.

Employers’ liability insurance

In case anyone gets ill or injured while working for your business.

What’s typically covered by employers’ liability insurance?

Claims against your business for:

• an injury or illness that happens as a result of working for you (including temps and casual workers)

For example:

• an employee develops tendonitis and raises a claim against you
• a temporary Christmas worker slips on a wet floor in your manufacturing premises, injuring their lower back

Employers’ liability insurance is required by law if you have people working for you. Without it, you could be fined up to £2,500 a day for each employee.

Public liability insurance

In case your business causes an injury, illness, or property damage.

What’s typically covered by public liability insurance?

Claims against your business for:

• damage to someone’s property, caused by your manufacturing activities
• an injury or illness caused by your business activities or products
• accidental damage or injuries caused by your employees

For example:

• one of your site visitors is injured by a piece of moving machinery while trying to find the exit
• a chemical spill in your manufacturing premises causes toxic exposure and serious burns to a visiting client

If you do employ anyone, you’re usually required by law to have employers’ liability insurance too.

Product liability insurance

In case your products cause an injury or damage.

What’s typically covered by product liability insurance?

• your legal liability for injuries or damage caused by your products, up to the agreed limit
• associated costs and expenses

Exclusions and limitations apply to this cover – read the policy documents carefully to be clear on what is and isn’t covered.

Commercial legal expenses insurance

In case you’re faced with legal costs in connection with your manufacturing.

What’s typically covered by legal expenses insurance?

• legal costs that you’re responsible for, within your business
• property damage, nuisance, or trespass – specifically, the associated legal claims and compensation payouts
• tax and compliance disputes and investigations you need help with
• access to expert advice – including a tax advice phone line, confidential 24/7 legal phone line, and crisis support to help you protect your professional reputation

For example:

• HMRC begin an investigation into your tax affairs, and you need to pay for legal representation
• an employee sues you after a falling object causes her concussion, and you begin to incur legal costs

Personal accident insurance

In case you or anyone you’ve covered has an accident, at work or off-duty.

What’s typically covered by personal accident insurance?

• accidental injury or death of anyone you’ve chosen to cover in your policy – whether this happens at work or elsewhere
• lost income, hospital bills, or other medical costs associated with the accident

For example:

• two of your employees are badly burned during an explosion on your manufacturing premises, and can’t work for at least six weeks
• you break your leg in a road cycling accident, and need six weeks away from work