Insurance for Calgary Manufacturers
You could have a defective product or a client could get injured at your Calgary manufacturing operation. Do you have enough business liability insurance to manage the risks that you face daily?
Did you know that business liability insurance can be tailored to your Calgary manufacturing business’s needs?
A Western Financial Group business insurance broker will get you commercial coverage that uniquely protects your Calgary 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 Calgary manufacturing business’s specific needs.
Examples of Calgary manufacturing companies
- Food and beverage manufacturing
- Electronics manufacturing
- Machinery manufacturing
- Farming equipment
- Oilfield equipment manufacturing
- Industrial equipment
Calgary’s manufacturing sector
Calgary is known for its advanced manufacturing and aerospace economic sector, such as drone manufacturing, geospatial data collection and analysis, and aerospace communications and navigation. It’s also known for its oilfield equipment manufacturers.
Liability Insurance Coverage for a manufacturing company should include:
Liability insurance is an essential part of your manufacturing insurance package. Here are the liability coverages that you need to protect your Calgary manufacturing company from lawsuits.
Professional liability insurance
Professional liability insurance helps protect Calgary manufacturers from claims of negligence, misconduct, or failure to deliver a product or service as promised. You’ll also hear it called errors and omissions (E&O) insurance. Typically, this type of insurance includes coverage for legal defense costs and damages related to an E&O claim.
Here’s an example of how professional liability insurance can help your Calgary manufacturing firm: You went over budget, didn’t deliver a product on time, and the client alleged the product was faulty. The client sued you. E&O insurance can help cover your legal costs related to the lawsuit.
Product liability insurance
Product liability insurance covers claims arising from defects or problems with products that you manufacture. It protects your Calgary manufacturing business against third-party legal liability arising from physical damage or bodily injury due to an alleged product failure or defect.
This type of insurance is essential for your Calgary manufacturing business 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, or incorrect information.
- Insufficient warnings: The product doesn’t include sufficient warning/information about potential harm.
Directors and Officers liability insurance
Does your Calgary manufacturing company have a board of directors? Directors and Officers insurance provides financial coverage for legal expenses to help defend a board member or officer of your Calgary manufacturing company against legal claims. It typically covers misleading statements, reporting issues, and inaccurate disclosure.
Directors and Officers 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 follow federal and provincial laws and regulations
Commercial general liability insurance
This is a cornerstone of your liability insurance. 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 Calgary manufacturing company, as well as costs to cover damages to compensate third parties whether you win or lose your case.
What 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
Did you know? Should a client visiting your Calgary manufacturing plant slip, fall, and get injured, CGL insurance would help cover legal fees and medical costs.
Cyber liability insurance
Do you keep sensitive financial information and data belonging to your Calgary manufacturing clients? Cyber liability insurance will help protect your 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. Cyber liability insurance helps pay for restoring your system after an attack.
Commercial umbrella insurance
Does your Calgary manufacturing business have commercial umbrella insurance? 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
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 Calgary manufacturing businesses need?
Commercial property insurance
Commercial property insurance provides financial support to replace or cover repairs to your Calgary manufacturing business if it is damaged by a flood, fire, or severe weather. It also covers vandalism and theft.
This type of business liability insurance covers your company’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
This type of insurance provides access to general legal advice with a lawyer, as well as coverage for legal expenses resulting from the legal process. Legal expense insurance for Calgary manufacturing businesses may cover legal costs associated with defending your legal rights relating to employment disputes, debt recovery, or contract disputes.
Business interruption insurance
This type of insurance supports you when your Calgary 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 Calgary’s 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
Marine insurance covers all risks of physical loss or damage to your Calgary manufacturing company’s property and equipment in the course of marine and/or air transit.
Does your Calgary manufacturing company do international business? Learn about cross border insurance.
How much does Calgary 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 Calgary 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 Calgary manufacturers business. Our experts are available now to help you navigate the commercial insurance journey to protect your Calgary business.
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