Key Takeaways
- General liability insurance protects against bodily injury and property damage claims
- Property insurance covers costs to repair or replace buildings, equipment and inventory from losses
- Workers compensation covers medical costs and lost wages for employee injuries on the job
- Commercial auto insurance protects company vehicles and drivers from accidents
- Environmental insurance covers clean up costs and lawsuits over pollution incidents
Introduction
The asphalt shingle and coating materials manufacturing industry involves various risks that businesses need proper insurance protections for. This article examines the top business insurance policies manufacturers in this sector commonly carry to safeguard their financial well-being and operations.
General Liability Insurance
General liability insurance is an important policy for businesses in the asphalt shingle and coating materials manufacturing industry. It protects against financial losses from common risks like injuries on premises, product defects, environmental incidents, and legal claims that are prevalent in this sector due to its manufacturing processes, materials handling, and interactions with contractors, customers and other third parties.
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Based on industry analysis, the average general liability insurance pricing for businesses in the Asphalt Shingle and Coating Materials Manufacturing industry (NAICS Code: 324122) is around $5,000-$8,000 annually. Pricing can vary depending on factors like company size, years in business, past claims, and risk management practices. This estimate was derived from publicly available insurance rate filings and industry reports on insurance costs for similar manufacturing industries.
Estimated Pricing: $5,000-$8,000
Property Insurance
Property insurance provides crucial financial protection for businesses in manufacturing industries like asphalt shingle and coating materials production. It helps protect the substantial investment in facilities, equipment and inventory from losses due to damages or destruction. Property insurance also protects manufacturing operations by replacing or repairing damaged property to minimize disruptions and mitigates risks of fire or other damages for asphalt manufacturers using flammable materials. The estimated average pricing for property insurance in this industry is around $3.50 per $100 of insured property value based on risk factors.
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Based on industry analysis, the estimated average annual pricing for property insurance for businesses in the asphalt shingle and coating materials manufacturing industry with NAICS code 324122 is around $3.50 per $100 of insured property value. This pricing is derived from considering factors such as the manufacturing nature of the business operations, average claims experience in the industry, risks of fire and machinery breakdowns. Insurers may adjust the pricing higher or lower depending on individual business’s risk assessment, loss control measures, and claims history.
Estimated Pricing: $3.50 per $100 of insured property value
Workers Compensation Insurance
Workers compensation insurance provides crucial protections and benefits for businesses in the asphalt shingle and coating materials manufacturing industry. It covers medical expenses and lost wages for employees injured on the job, protects the business from costly lawsuits, promotes safer work practices, attracts quality job applicants, reduces costs compared to paying claims out-of-pocket, and helps injured employees return to work faster through rehabilitation programs.
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Based on national average workers compensation insurance rates for the asphalt shingle and coating materials manufacturing industry (NAICS 324122), the estimated average annual pricing would be around $2.30 per $100 of payroll. This rate is derived from analyzing historical injury and claim data from insurance companies for businesses in this industry and taking into account factors like company size, number of employees, job roles, past safety records, and risk levels of different operations.
Estimated Pricing: $2.30/100 of payroll
Commercial Auto Insurance
This commercial auto insurance reference provides valuable information on the benefits, common use cases and estimated pricing for companies in the asphalt shingle and coating materials manufacturing industry (NAICS Code: 324122). It outlines the top benefits such as various liability protections and coverage for company vehicles. It also discusses common use cases where commercial auto insurance is needed like transporting materials and covering medical expenses if a driver gets injured. Finally, it estimates the average annual pricing for a typical fleet size and risk profile within this industry.
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Based on industry analysis and typical commercial auto insurance rates for manufacturers in this industry, the estimated average annual pricing for commercial auto insurance would be around $3,500. This factors in the typical vehicle fleet size of 5-10 vehicles used for transportation of materials and employees, average claims history, and other standard rating factors.
Estimated Pricing: $3,500
Business Owner’S Policy
This business owners policy reference provides useful information on the top benefits, use cases and estimated pricing for a business owners policy tailored specifically for businesses in the asphalt shingle manufacturing industry. It outlines the key risks manufacturers in this niche industry commonly face and how a BOP can help protect their operations and assets. The reference also examines the typical property, liability and business interruption exposures for asphalt shingle producers and recommends a BOP as an efficient way to consolidate important coverage for their specific needs.
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Based on industry data, the average annual premium for a Business Owners Policy for a business in the Asphalt Shingle and Coating Materials Manufacturing industry (NAICS 324122) is around $6,000-8,000. This price range was derived considering factors such as average revenue, number of employees, property values, and the risk associated with this manufacturing process.
Estimated Pricing: $6,000-8,000
Environmental Impairment Liability Insurance
Environmental impairment liability insurance provides important protection for businesses in the asphalt shingle and coating materials manufacturing industry. It helps cover costs from environmental incidents, contamination clean up, lawsuits, and regulatory fines. This type of insurance is especially useful for these manufacturers due to the chemicals regularly used and risks of accidental pollution during production processes. It can help businesses avoid bankruptcy from large environmental remediation expenses. The insurance also demonstrates financial responsibility required to comply with environmental regulations.
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Based on average industry data, the estimated pricing for environmental impairment liability insurance for businesses in the asphalt shingle and coating materials manufacturing industry (NAICS Code: 324122) would be around $15,000 annually. This price was derived by looking at common factors like company size, average pollution incidents for the industry, and average cleanup costs. Larger companies and those with more incidents tend to pay higher prices.
Estimated Pricing: $15,000
Product Liability Insurance
Product liability insurance provides critical coverage for businesses that manufacture building materials like asphalt shingles and coatings. It protects against costly legal battles and financial losses if a customer alleges injury or property damage from a defective product.
Some key benefits of product liability insurance for manufacturers in this industry include protecting finances from legal costs of defending lawsuits, covering damages awarded if the product is found legally responsible, and providing peace of mind in knowing you have coverage for any defects that cause injuries or issues years later. It also helps maintain positive industry and customer relationships by demonstrating you have adequate liability protections in place.
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Based on typical industry averages, the estimated average annual pricing for product liability insurance for businesses in the Asphalt Shingle and Coating Materials Manufacturing industry (NAICS Code 324122) would be around $15,000-$20,000. This pricing was derived based on considering factors such as the industry’s overall risk level, average claims history, and typical policy limits purchased by businesses in this industry.
Estimated Pricing: $15,000-$20,000
Conclusion
In summary, general liability, property, workers compensation, commercial auto, environmental impairment liability, product liability and business owners policies provide essential protections for asphalt shingle and coating materials manufacturers. Having the right insurance customized to their industry needs helps businesses mitigate risks and remain financially stable should an unexpected incident occur.