Insurance for Edmonton Machinery Manufacturers
Edmonton machinery manufacturers need to be protected from any financial fallout in case of a production mistake, mishap, or accident. What happens if a product is defective or a client gets injured at your Edmonton manufacturing premises? Are you financially protected with enough business liability insurance?
Did you know that business liability insurance can be tailored to your Edmonton machinery manufacturing business’s needs?
A Western Financial Group business insurance broker will get you commercial coverage that uniquely protects your Edmonton machinery manufacturing business.
Western is a trusted, national insurance brokerage that has partnered with Canada’s top insurance companies to provide commercial insurance. We work with our insurance partners to find the best coverage for your needs.
We make the process simple by getting insurance quotes for you and giving you policy coverage options that you can choose for your Edmonton manufacturing firm’s specific needs.
Edmonton’s metal fabrication and machinery manufacturing sector
Edmonton’s metal and machinery companies produce a wide variety of goods and manufacturing services, including drilling rigs and tools, pipe, valves, pumps, boring or sinking machinery, and component manufacturing, among other customized solutions.
Liability insurance is an essential part of your metal and machinery insurance package. Here are the liability coverages that you need to protect your Edmonton machinery manufacturing company from lawsuits.
Professional liability insurance helps protect Edmonton manufacturing businesses from claims of negligence when they are performing their duties. You will also hear it called errors and omissions insurance (E&O).
Errors and omissions insurance can protect against claims alleging financial loss due to a service your operation provided, as well as lawsuits alleging negligence, misconduct, and failure to deliver services as promised.
For example, in the case of a negligence claim, for example, an Edmonton metal fabrication and machinery manufacturing company’s E&O insurance would pay for some or all of the claim costs.
It’s important to understand the specifics of your professional liability coverage to ensure adequate protection for your Edmonton manufacturing business.
Product liability insurance
Product liability insurance covers claims arising from defects or problems with products that you manufacture. It protects your Edmonton metal fabrication and manufacturing business against third-party legal liability arising from physical damage or bodily injury as a result of an alleged product failure or defect.
It is important to have this type of insurance in place because it can be expensive to defend against a product liability lawsuit.
What product liability insurance covers:
- Design defects: There’s something wrong with the product’s design.
- Manufacturing defects: Something went wrong during manufacturing.
- Marketing missteps: A mistake in marketing materials, such as improper labels.
- Insufficient warnings: The product doesn’t include sufficient warning/information about potential harm.
Directors and Officers liability insurance
Directors and Officers insurance provides financial coverage for legal expenses to help defend a board member or officer of your Edmonton manufacturing company against claims. It typically covers misleading statements, reporting issues, and inaccurate disclosure.
This type of insurance also covers:
- Negligent acts and allegations of misrepresentation
- Breach of legal or fiduciary duties
- Decisions that result in adverse financial consequences for shareholders
- Wrongful dismissal and employee discrimination claims
- Failure to adhere to federal and provincial laws and regulations
Commercial general liability insurance
This is necessary liability insurance for an Edmonton manufacturing or metal fabrication business. Without commercial general liability insurance, you will pay costs related to third-party (customer/supplier) injuries or damage to their property out of your own pocket.
If you were sued, commercial general liability insurance would cover the legal costs to defend the claim against your Edmonton manufacturing company, as well as costs to cover damages to compensate third parties whether you win or lose your case.
What kind of risks does commercial general liability insurance cover?
- Injury to a third party who is not your employee
- Damage to someone’s property
- Damage to rented property
- Medical bills if someone is injured
- Legal costs and settlement costs of liability lawsuits filed against you
- Liability lawsuits related to slander and libel
Should a client visiting your Edmonton manufacturing business slip, fall, and get injured, CGL insurance would help cover legal fees and medical costs.
Cyber liability insurance
Do you keep sensitive financial information belonging to your manufacturing clients? Cyber liability insurance will help protect your Edmonton company financially protected should there be a cyber-attack.
Depending on the size of the data breach and the information that was taken, the customers who are affected can hold you liable and sue you for damages.
Commercial umbrella insurance
You may want to consider commercial umbrella insurance for your Edmonton manufacturing operation. Commercial umbrella insurance, also known as just umbrella insurance, addresses liability coverage gaps. It’s used when the primary liability coverage, for example on your commercial general liability insurance, has reached its coverage limit.
It’s important to note that umbrella insurance applies only to expenses related to liability such as legal fees, court fees, and legal settlements.
Pollution liability insurance
It’s not uncommon for Edmonton manufacturing companies to be exposed to liabilities related to pollution. Pollution liability insurance covers third-party bodily injury and third-party property damage as well as environmental damage resulting from your manufacturing work, including clean-up costs, civil fines and assessments, and emergency response expenses.
What other insurance coverages do Edmonton manufacturing businesses need?
Commercial property insurance
Commercial property insurance provides financial support to replace or cover repairs to your Edmonton manufacturing and metal fabrication company if it is damaged by a flood, fire, or severe weather. It also covers vandalism and theft.
Commercial property insurance also covers the firm’s contents such as computers, furniture, tools, equipment, and inventory. Commercial property coverage also extends to protect others’ property that is under your care.
Legal expense insurance
Legal expense insurance provides access to general legal advice with a lawyer, as well as coverage for legal expenses resulting from the legal process. This type of insurance policy for manufacturing businesses may cover legal costs associated with defending your legal rights relating to employment disputes, debt recovery, contract disputes, or tax protection.
Business interruption insurance
This type of insurance supports you when your Edmonton manufacturing firm can’t operate due to a covered loss.
There are a number of losses that can force your business to shut down. Some examples are:
- Damage to your equipment from fire or vandalism
- A major reduction in revenue due to a client/supplier facing losses of their own
- A disruption in your supply chain
Business interruption insurance can help with these expenses:
- Payroll
- Rent
- Utilities
- Property taxes
- Alarm monitoring
- Relocation of your business
Commercial auto insurance
If you are using your car for your job in the manufacturing industry, it won’t be covered by your personal car insurance policy. You will need commercial coverage as part of your insurance package.
Marine cargo insurance
This type of insurance covers all risks of physical loss or damage to your manufacturing company’s property and equipment in the course of a marine and/or air transit.
Does your Edmonton manufacturing company do international business? Learn about cross border insurance.
How much does Edmonton machinery manufacturers’ insurance cost?
The following factors are usually considered when determining the cost of your business insurance: Location(s), services provided, number of employees, years of experience, annual revenue, and any past claims.
What do I do if I have a claim against my Edmonton manufacturing business?
- Contact your broker immediately after any business-related mishap. Waiting to file a claim can confuse insurers about the severity of the damages to your business.
- Know your policy so that when you contact your broker you are familiar with what will be covered or not.
- Document the damage. Take photos right away and write down what happened.
- Do not throw away damaged goods after taking photos. Keep the physical evidence so that your adjustor can see it.
- Do not invite lawsuits. Don’t say anything that could be used against you, especially if you aren’t sure what happened.
- Be honest about what your damaged property is worth. Damaged commercial property is generally valued according to its actual cash value or replacement value.
Here’s an insurance checklist:
- Do you have the best business insurance rate that suits your industry?
- Do you have the right amount for your deductible and regularly review it to make sure it’s the right amount for you?
- Are you or your employees using personal vehicles for work?
Western Financial Group has licensed BUSINESS INSURANCE EXPERTS to get you the right insurance coverage for your Edmonton machinery manufacturers business. Our experts are available now to help you navigate the commercial insurance journey to protect your Edmonton business.
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