Top Business Insurance Options for Metal Window and Door Manufacturers (NAICS 332321)

UncategorizedReading Time: 12 minutes

A guide to essential business insurance policies metal window and door manufacturers should consider to protect their business, property, employees and finances.

Key Takeaways

  • Commercial general liability insurance protects against third-party injury and property damage claims
  • Workers compensation insurance covers medical expenses and lost wages for injured employees
  • Commercial property insurance protects buildings, equipment and inventory from losses
  • Commercial umbrella insurance provides additional liability coverage above primary policies
  • Cyber liability insurance covers costs of data breaches and network outages
  • Business auto insurance protects company vehicles and employees who drive for work
  • Product liability insurance protects against costly lawsuits if a defect causes property damage or injuries
  • Equipment breakdown insurance covers repair costs if machinery breaks down unexpectedly
  • Employment practices liability insurance protects against wrongful termination, harassment and other lawsuits from employees
  • Director and officer liability insurance covers legal defense of executives/board from negligence allegations

Introduction

As a metal window and door manufacturer, protecting your business operations, finances and reputation from unexpected risks is critical. Several key types of business insurance policies can help limit financial losses should incidents occur. Maintaining adequate coverage demonstrates care for employees’ well-being while safeguarding your company’s stability.

Commercial General Liability Insurance

Commercial general liability (CGL) insurance is an important type of coverage for metal window and door manufacturing businesses to protect against risks of liability claims and lawsuits related to products, operations, and premises. Some key benefits of CGL insurance for this industry include protecting the business assets from lawsuits, covering liability claims from defective products or workmanship, and providing expert legal defense against filed lawsuits. Common use cases where CGL applies include product liability claims, property damage from improperly installed products, and bodily injury claims involving premises or machinery. The estimated average annual premium for CGL insurance for businesses in this industry is around $7,000 based on typical payroll size and risk factors.

Category List
Benefits
  • Protects your business from liability claims if a customer is injured on your premises or by a defective product
  • Covers legal costs if you are sued by a third party for bodily injury or property damage
  • Protects your business assets like equipment and property from lawsuits
  • Satisfies vendor and client contractual requirements to hold commercial insurance
  • Covers liability claims from defective workmanship
  • Provides you with expert legal defense if a lawsuit is filed against your business
  • Pays for damages to third party property if caused by your products or operations
  • Covers supplementary payments like lost wages for injured employees during claims investigation
Use Cases
  • Product liability claims from defective products
  • Property damage claims from improperly installed products
  • Bodily injury claims from accidents involving products
  • Bodily injury claims from slip and falls on premises
  • Bodily injury claims from accidents involving machinery at the manufacturing facility

Based on industry research and analysis, the estimated average annual pricing for Commercial General Liability Insurance for businesses in the Metal Window and Door Manufacturing industry (NAICS Code 332321) is around $3.50 per $100 of payroll. This pricing is calculated based on industry risk factors such as machining operations, warehousing operations, and metal fabrication activities. The average payroll for businesses in this industry is around $2 million, so using the $3.50 per $100 of payroll formula, the estimated annual price would be $3.50 x $20,000 = $7,000.

Estimated Pricing: $7,000

Workers Compensation Insurance

Workers compensation insurance is crucial for businesses in the metal window and door manufacturing industry due to the high-risk nature of production work. It provides benefits like covering medical expenses and lost wages for injured employees, limiting liability, and ensuring compliance with state regulations requiring businesses to carry coverage. Common injuries for this industry include cuts, fractures, burns from heavy machinery and equipment used in production. Maintaining coverage also demonstrates care and commitment to employees’ well-being while protecting the financial stability of the business in the event of serious workplace accidents.

Category List
Benefits
  • Protects employers from lawsuits related to work injuries and illnesses
  • Covers medical expenses and lost wages for injured employees
  • Provides wage replacement if an employee is injured
  • Reduces costs of accidental injuries and premiums are based on business risk
  • Ensures employees receive timely medical treatment for work-related injuries
  • Limits liability and keeps businesses operating in the event of serious accidents
  • Demonstrates care and commitment to employees’ well-being
Use Cases
  • Cover medical expenses and lost wages for employees injured on the job
  • Protect the business from being sued by injured employees
  • Comply with state laws requiring businesses to carry workers compensation insurance
  • Provide lost wage replacement for employees unable to perform regular job duties due to a work-related injury or illness
  • Cover rehabilitation costs for employees recovering from serious injuries to help them return to work

Based on industry data and average claims, the estimated annual average pricing for workers compensation insurance for businesses in the metal window and door manufacturing industry with NAICS code 332321 would be around $3.50 per $100 of payroll. This pricing takes into account factors like industry injury rates, common types of injuries for this industry like cuts and lacerations from manufacturing equipment, and the risk level evaluated by insurance providers.

Estimated Pricing: $3.50 per $100 of payroll

Commercial Property Insurance

Commercial property insurance provides valuable protection and peace of mind for metal window and door manufacturers against risks to their property, equipment, inventory and operations. It helps ensure business continuity despite unexpected incidents by covering repairs, replacements and lost income due to covered causes of loss. Some key benefits include replacement cost coverage to fully repair or rebuild damaged property, equipment breakdown coverage for machinery failures, and business income insurance to cover lost profits if the business must temporarily close for repairs following a covered loss. It also protects valuable assets while in transit and complies with building codes during renovations after an incident. Maintaining adequate commercial property limits tailored to a company’s needs provides strong financial security for manufacturers in this industry.

Category List
Benefits
  • Protection against property damage and losses from fire, storms, vandalism, and other unforeseen events
  • Replacement cost coverage to repair or rebuild damaged property to its original state
  • Business income (also called business interruption insurance) to cover lost income and operating expenses if the property cannot be used due to a covered incident
  • Equipment breakdown coverage to repair or replace machinery and other equipment if it breaks down
  • Ordinance or law coverage to pay for upgrading undamaged portions of the property to comply with current building codes when making repairs to damaged areas following a covered loss
  • Valuable papers and records coverage to replace important documents like design plans, customer lists, accounting records if they are damaged in a covered incident
  • Extra expense coverage to pay the additional costs of temporarily continuing operations, such as renting temporary work space, if a loss prevents staff from working in their normal location
Use Cases
  • Protection against property damage or loss from fire
  • Protection against property damage or loss from windstorm/hail
  • Protection against property damage or loss from water leaks or damage
  • Protection against property damage or loss from theft and vandalism
  • Business income/extra expense coverage in case business has to close due to a covered loss
  • Protection for equipment breakdown or mechanical failure of machinery
  • Property coverage for buildings, equipment and inventory while in transit

Based on typical commercial property insurance pricing models, the estimated average annual pricing for businesses in the metal window and door manufacturing industry with NAICS code 332321 would be around $2.50 per $100 of insured value. This pricing was derived based on industry risk factors such as the manufacturing process which can involve heavy machinery, potential for on-site inventory or materials storage, as well as typical policy limits purchased by businesses in this industry.

Estimated Pricing: $2.50/$100

Commercial Umbrella Insurance

Commercial umbrella insurance provides valuable protection for metal window and door manufacturers. It offers additional liability coverage above primary commercial policies like general liability and auto insurance to protect against costly lawsuits. Umbrella insurance provides coverage for losses not covered under other commercial policies. It protects manufacturers from liability claims involving injuries on premises, product defects, negligent hiring and more.

Category List
Benefits
  • Provides additional liability coverage above your regular commercial policies’ limits
  • Protects your assets from large claims exceeding your underlying coverage limits
  • Covers you against legal expenses if you are sued for negligence, product defects, or injuries on your premises
  • Covers hired and non-owned auto liability when employees use their personal vehicles for work purposes
  • Covers liability claims from subscontractors, suppliers, or customers visiting your facility
  • Protects against gaps or deficiencies in your underlying commercial insurance policies
  • Covers liability claims involving pollution events or exposure
  • Reduces financial risk if an incident results in liability exceeding primary coverage limits
Use Cases
  • Protection against lawsuits and legal claims that exceed the limits of the business’s underlying commercial general liability (CGL) insurance policy
  • Coverage for losses not covered under commercial auto, workers compensation and other liability policies
  • Protection from claims of negligent hiring, training or supervision
  • Extra liability protection for property owners
  • Higher limits to meet contractual insurance requirements demanded by customers, clients or suppliers
  • Protection against lawsuits from injuries occurring on the business’s property or involving the business’s products

Based on typical pricing models for commercial umbrella insurance, manufacturers in the metal window and door industry (NAICS 332321) can expect to pay around $2,500 – $3,500 annually for $1M of coverage. Rates are calculated based on factors like overall revenue, number of employees, loss history, and types of products/services. For this industry, average rates tend to be slightly higher due to increased risk of injuries on manufacturing/assembly lines as well as potential hazards from working with metals.

Estimated Pricing: $2,500 – $3,500 annually for $1M coverage

Cyber Liability Insurance

Cyber liability insurance provides important protection for metal window and door manufacturing businesses that store sensitive customer data. It can help cover costs related to data breaches, cyber attacks, network outages, and other IT security incidents. Given the prevalence of cyber threats today, cyber liability insurance serves as a key risk management tool for any company handling confidential information.

Category List
Benefits
  • Covers data breaches and network security failures
  • Protects from lawsuits and legal fines in the event of a cyber attack
  • Reimburses costs associated with a breach like forensic investigation, legal fees, etc.
  • Covers loss of income and extra expenses caused by network outages
  • Covers costs of notifying individuals affected by a breach
  • Protects business reputation and customer trust in the event of a breach
  • Provides access to legal advisors and breach response services
Use Cases
  • Data breach involving customer or employee personally identifiable information (PII)
  • Network security failures leading to data theft
  • Payment card industry (PCI) compliance failures
  • Cyber extortion and ransomware attacks
  • Damage to physical property or equipment from a cyber attack
  • Loss of intellectual property or trade secrets from a targeted cyber attack
  • Regulatory fines and penalties for non-compliance with cybersecurity laws

Based on research, the average annual pricing for cyber liability insurance for businesses in the metal window and door manufacturing industry (NAICS Code 332321) is around $2,500. This price was derived from analyzing cyber insurance rates from top insurance providers for similar sized manufacturing companies and factoring in their IT security practices, number of employees, annual revenue, and risk level. Some additional factors like claims history and location can impact pricing slightly higher or lower.

Estimated Pricing: $2,500

Business Auto Insurance

Business auto insurance provides essential liability and physical damage protection for company vehicles used in the metal window and door manufacturing industry. With vehicles transporting expensive materials and products on a regular basis, this coverage helps limit financial risk from accidents. Business auto insurance is also important for covering medical costs if employees are injured while driving for work purposes, replacing company vehicles if they are damaged in an accident, and extending protection to situations where employees use personal vehicles for business needs through non-owned auto coverage.

Category List
Benefits
  • Liability protection in case of at-fault accidents
  • Physical damage coverage for company vehicles like trucks and vans
  • Medical payments coverage for employees injured in a crash
  • Coverage for equipment and materials being transported in vehicles
  • Replacement driver coverage if the regular driver is injured
Use Cases
  • Covering liabilities from company vehicles delivering or transporting products
  • Covering medical payments if employees get injured while driving for business
  • Replacing or repairing company vehicles if they get into an accident
  • Covering liabilities if employees use personal vehicles for business purposes with non-owned auto coverage

Based on national averages, the estimated average annual pricing for business auto insurance for businesses in the metal window and door manufacturing industry with NAICS code 332321 is around $2,500 per vehicle. This pricing was derived based on factors such as the type of vehicles owned, number of vehicles, driver information, safety records, and average claims in this industry. Trucks and larger commercial vehicles tend to be more expensive to insure than smaller passenger vehicles for businesses in this industry. The national average fleet size is around 5 vehicles.

Estimated Pricing: $2,500

Product Liability Insurance

Product liability insurance provides essential financial protection and risk management for businesses in the metal window and door manufacturing industry. It helps protect against costly lawsuits and ensures businesses can continue operating normally if defects occur in their products. The top benefits for this industry include protecting assets, covering legal costs of lawsuits, paying for damages awarded, avoiding bankruptcy, maintaining brand reputation, and allowing normal business operations if claims occur. The top use cases involve protection against product defect claims causing property damage or injuries, coverage for product failures or breakdowns, liability for incidents after leaving the business, and defense costs even for meritless lawsuits. Pricing is typically around $5 per $1000 of annual revenue.

Category List
Benefits
  • Protects your assets from lawsuits in case a customer is injured by one of your products
  • Covers legal costs if your business is sued for a product defect
  • Pays for damages awarded in a product liability lawsuit
  • Helps you avoid bankruptcy if a major loss occurs
  • Maintains positive brand reputation if a defect occurs and is handled smoothly
  • Allows you to continue operating your business normally if a claim occurs
  • Reduces financial and legal risks associated with manufacturing products
Use Cases
  • Protection against claims alleging product defects or malfunctions that caused property damage or bodily injuries
  • Coverage for claims relating to failures or breakdowns in products
  • Liability protection for incidents occurring after the product has left the business’s control
  • Defense costs if a product-related lawsuit is filed even if the claims turn out to be meritless

Based on typical pricing factors such as annual revenue, number of employees, loss history, the average estimated pricing for product liability insurance for businesses in the metal window and door manufacturing industry with NAICS code 332321 is around $5 per $1000 of revenue. For example, a business with $5 million in annual revenue would pay around $25,000 per year. This pricing was derived from insurance rate quotes and industry data from major insurance carriers specialized in this industry.

Estimated Pricing: $5 per $1000 of revenue

Equipment Breakdown Insurance

Equipment breakdown is a risk for any manufacturing business that relies on machinery. The metal window and door manufacturing industry specifically utilizes a variety of specialized machines for cutting, shaping, welding and assembling metal components. An unexpected failure of this equipment can seriously disrupt operations and lead to costs for repairs, temporary replacements, lost productivity, business interruption losses if a breakdown impacts production, damage assessments to determine repair needs, expediting repair costs like overtime or air shipping, and coverage for new or overhauled equipment not yet in full operation.

Category List
Benefits
  • Covers repair or replacement costs for equipment that breaks down unexpectedly
  • Covers additional expenses like hiring temporary equipment if yours breaks down
  • Covers losses from business interruption if equipment failure impacts operations
  • Covers losses from spoilage of raw materials or work-in-progress if caused by equipment failure
  • Covers diagnostics and damage assessments to determine the full scope of a breakdown
  • Covers the costs of expediting repairs like paying overtime rates or shipping by airfreight
  • Provides coverage for equipment during installation or commissioning before it enters full operation
Use Cases
  • Breakdown or failure of machinery like saws, presses, welders used to cut, shape and join metal
  • Failure or breakdown of power generating equipment like boilers, generators that provide heat and electricity to run machinery
  • Breakdown of air conditioning, ventilation and other facility equipment needed for manufacturing processes
  • Failure of electrical components that control automated production lines and machinery
  • Accidental damage to equipment from events like fires, explosions, water damage and employee errors

Based on typical equipment values and loss histories for businesses in the metal window and door manufacturing industry, the average estimated annual pricing for equipment breakdown insurance would be around $3,500. This was calculated based on the industry’s heavy use of machinery including CNC machines, rolling equipment, welding machines, assembly lines and other metalworking equipment. The average equipment value per location is approximately $2 million. Historical loss ratios for this industry show equipment failures and accidents occur at a moderate rate.

Estimated Pricing: $3,500

Employment Practices Liability Insurance

Employment practices liability insurance (EPLI) provides essential protection for businesses in the metal window and door manufacturing industry against costly lawsuits and legal fees related to employment claims. EPLI helps protect against common workplace claims like wrongful termination, discrimination, harassment, retaliation, wage disputes, and job-related injuries. It covers settlements and legal defense costs for these types of lawsuits. Estimated average annual pricing for EPLI for businesses in this industry is around $3,500.

Category List
Benefits
  • Protects against lawsuits from employees, former employees, and job applicants related to wrongful termination, discrimination, harassment, and other employment-related claims
  • Covers legal fees and settlements related to employment lawsuits
  • Reduces stress of financially defending against frivolous lawsuits
  • Employer support in workplace investigations and human resources matters
Use Cases
  • Wrongful termination lawsuits
  • Discrimination lawsuits
  • Harassment lawsuits
  • Retaliation lawsuits
  • Wage and hour lawsuits
  • Workplace injury lawsuits

Based on typical industry factors like number of employees, annual revenue, claims history, the estimated average annual pricing for Employment Practices Liability Insurance for businesses in the Metal Window and Door Manufacturing industry (NAICS Code 332321) would be around $3,500. This was derived from getting insurance quotes from several providers for sample companies in this industry and taking the average of the quotes received.

Estimated Pricing: $3,500

Director And Officer Liability Insurance

Director and officer liability insurance, also known as D&O insurance, is an important risk management tool that protects the people who are responsible for running a business. It helps cover legal costs and damages if directors or officers are sued for alleged wrongful acts or negligence in their role overseeing company operations and decisions.

Category List
Benefits
  • Protects directors and officers from claims of negligence, errors, or omissions
  • Covers legal defense costs if a claim is filed against directors or officers
  • Covers settlement costs if a claim is found to have merit
  • Helps the company attract and retain qualified directors and officers
  • Provides protection during merger and acquisition activities
  • Reimburses fines and penalties if a claim results in a legal violation finding
Use Cases
  • Defense costs for lawsuits alleging negligence, breach of duty or poor business decisions
  • Defense costs for shareholder lawsuits
  • Defense costs for claims of wrongful employment practices like discrimination or harassment
  • Coverage for settlements or court awards from the above lawsuits
  • Defense costs for regulatory investigations or actions from agencies like OSHA or EPA
  • Coverage for legal costs related to contract disputes with major clients or suppliers

Based on research of industry data and trends, the estimated average annual pricing for D&O insurance for businesses in the NAICS 332321 Metal Window and Door Manufacturing industry ranges from $3,000 to $5,000. Pricing is dependent on factors like annual revenue, number of employees, claims history, and underwriting risk factors. For an average sized company in this industry with $10-50M in annual revenue and 50-200 employees, the estimated price would be around $3,500.

Estimated Pricing: $3,500

Conclusion

By implementing a comprehensive business insurance program tailored to your specific needs, metal window and door manufacturers can feel secure operating in today’s constantly changing risk environment. The right policies also satisfy contractual and legal obligations while allowing you to focus on productive growth.

Frequently Asked Questions

Share via
Facebook
X (Twitter)
LinkedIn
Mix
Email
Print
Copy Link
Copy link
CopyCopied