When you run your own business, there is a lot to consider, like protecting your business if things go wrong. This is where business insurance comes into play and should be one of the foundations of your business’ risk management plan.
The process of arranging your insurance can feel overwhelming at times, with many types of cover available in the insurance marketplace. From Public Liability cover to a variety of business insurances, in this article we explain some of the key things furniture manufacturers need to consider when it comes to insuring their business.
Why do furniture manufacturers need insurance?
When you’re in the business of furniture manufacturing, you don’t have time for things to go wrong, especially when working to tight deadlines to get your products to your clients and projects. If a safety defect or damage to your business assets occurred, the impact on your business could be financially devastating.
You may take all the precautions to maintain a safe working environment, but accidents can happen and things can still go wrong. Having insurance in place for those unexpected events not only gives you peace of mind, but the protection your hard-earned business deserves.
Understanding the Types of Insurance for Furniture manufacturers
Public & Products Liability*
As a furniture manufacturer, you are exposed to a variety of risks and the last thing you want is a liability claim. Public and Product Liability (often sold together) are two types of business insurance to think about when protecting your business.
Public Liability insurance is intended to provide protection for you and your business in the event a customer, supplier or a member of the public are injured or sustain property damage as a result of your negligent business activities and claim against you.
Product Liability insurance protects your businesses against claims by third parties relating to property damage or personal injury caused by your products.
Tip: if you export goods, check for any territorial limits in your policy for liability claims that arise from overseas markets. You should also check your policy to see if it provides you with cover in relation to the products you import.
A lot goes into owning your own furniture manufacturing business, from your premises to your machinery, equipment and even stock. You’ve put in the hard yards to get your business up and running, so without your business assets, how are you going to earn an income?
Having suitable business insurance in place can help safeguard your business for when things don’t go to plan and for when you need it most.
Some of the types of Business Insurance coverages available include:
- Contents and stock* – Cover for loss of or damage to items such as business equipment, stock, plant and machinery, records and furniture belonging to you at the insured location.
- Building* – Covers your building if it was damaged as a result of a fire, storm, malicious activity or another defined event listed in the policy.
- Machinery Breakdown* – Machinery breakdown insurance covers the cost to repair or replace specified machinery following a breakdown.
- Transit* – Goods in Transit covers (subject to a specified limit) loss or damage to goods owned by you which are damaged in transit by road in Australia and caused by insured events such as collision, fire, flood or theft by forcible entry.
- Business Interruption* – Cover for financial loss as a result of an interruption to your business caused by an insured event.
Management Liability insurance is designed to provide protection to both the business and its directors or officers for claims of wrongful acts in the management of the business.
Personal Accident & Illness Insurance*
Personal Accident and Illness insurance can provide cover options for:
– loss of income if you are unable to work due to illness or injury
– benefits, if because of injury you become permanently disabled
– benefits, if because of injury you pass away
(the covers you select will apply even if the injury or illness occurs outside of your employment).
Whether you produce tables, chairs, or other furniture wares protecting your furniture manufacturing business with insurance can help shield your business from financial loss. BizCover assists furniture manufacturers to find the right insurance options to protect their business. Working with some of Australia’s leading insurance providers means we can provide a range of competitive quotes in minutes. Experience hassle-free insurance purchasing in a click of a button with BizCover today.
*As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.