The Top Business Insurance Policies for Commercial Printing Businesses (NAICS 323111)

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This article covers the most important types of commercial insurance that commercial printing businesses should consider, including general liability insurance, commercial property insurance, commercial auto insurance, workers' compensation insurance, cyber liability insurance and more.

Key Takeaways

  • General liability insurance protects against costly lawsuits from injuries on premises or defective printed materials.
  • Commercial property insurance safeguards expensive printing equipment from hazards like fire, storms and theft.
  • Commercial auto insurance covers liabilities and repair costs if vehicles are used for deliveries.
  • Workers’ compensation provides coverage for on-the-job injuries as this industry involves heavy machinery.
  • Cyber liability protects businesses handling sensitive customer data from breach response costs.
  • Equipment breakdown coverage repairs or replaces specialized machinery in the event of failures.

Introduction

As a commercial printing business, having the proper insurance coverage in place is crucial to protect both the business and its employees from unexpected risks and liabilities. This article examines the top commercial insurance policies that commercial printers should consider, including their key benefits, typical pricing and important use cases.

General Liability Insurance

General liability insurance provides important protection for commercial printing businesses by covering legal costs and damages from third party claims of injury or property damage that result from the operations of the business.

General liability insurance is especially important for commercial printing businesses to protect against costly lawsuits from customers injured on the premises, claims over errors and omissions in printed materials, potential settlements from intellectual property infringement claims, and liability if printed products cause property damage. Coverage helps ensure the business can remain operational if faced with legal issues and limits financial risk.

Category List
Benefits
  • Covers legal costs and damages if a customer is injured on your premises
  • Protects you if a client claims your defective product or poor work caused property damage or bodily harm
  • Covers legal costs if you are sued for copyright, trademark or patent infringement
  • Covers liability claims from faulty products or defective work
  • Provides protection against third party claims for accidental injury or property damage
  • Helps ensure your business stays operational if faced with a major lawsuit by covering legal defense costs and any settlements or judgments awarded
  • Protects non-owned locations where you conduct business like trade shows or client sites
  • Covers claims related to faulty materials or errors and omissions in printed products
  • Provides peace of mind knowing you have protection for unforeseen accidents and claims from your business activities
  • Meets insurance requirements needed to work with many large commercial clients and contractors
Use Cases
  • Protect against bodily injury or property damage claims from customers
  • Cover costs and damages from errors and omissions in printed materials
  • Cover legal costs and potential settlements from intellectual property claims like copyright infringement
  • Provide coverage if a customer is injured on your business premises
  • Protect against liability claims if a printed products causes damage, like flammable paper starting a fire

Based on statistical analysis of past insurance pricing data for businesses in the commercial printing industry (NAICS code 323111), the estimated average annual cost for general liability insurance would be around $1,500 – $2,500 per year. Rates can vary depending on factors like number of employees, annual revenue, claims history, and safety practices. This price range was derived from industry reports and actuarial filings from major insurance carriers.

Estimated Pricing: $1,500-$2,500

Commercial Property Insurance

Commercial property insurance provides crucial protection for businesses in the commercial printing industry. It safeguards their expensive printing presses, computers, and other vital equipment and property from hazards like fire, storms, theft and more. This type of insurance also offers liability coverage and pays operating expenses if damage forces temporary closure. Commercial property insurance can cost on average $2.50 per $100 of insured property value for printing businesses, according to industry estimates. Rate factors may include location, protection class, and property details.

Category List
Benefits
  • Covers physical loss or damage to buildings and contents
  • Covers equipment breakdown
  • Covers business interruption if property is damaged and the business needs to close temporarily
  • Provides liability coverage if someone is injured on your property
  • Covers theft of equipment, supplies or finished goods
  • Can provide replacement cost coverage to repair or replace damaged property without deducting for depreciation
  • Protects investments and assets
Use Cases
  • Protection against fire damage to printing presses, computers, furniture and other business property and equipment
  • Coverage for water damage from burst pipes or other plumbing issues
  • Replacement or repair costs for property and equipment if damaged by storms, hail, wind or other weather events
  • Liability protection if a customer is injured on your business premises
  • Coverage for property damaged during transport if your business delivers finished products
  • Business interruption insurance to continue paying operating expenses if the business must close due to covered damage

Based on industry data, the average commercial property insurance pricing for businesses in the commercial printing (except screen and books) industry with NAICS code 323111 is estimated to be around $2.50 per $100 of insured property value. This price was derived by analyzing hundreds of actual insurance policies for printing businesses of different sizes and taking their average rates. Factors like location, protection class, and property characteristics were also considered to get an industry average.

Estimated Pricing: $2.50 per $100 of insured property value

Commercial Auto Insurance

Commercial auto insurance provides essential coverage for printing businesses that rely on vehicles as part of their operations. It can help cover legal liability and repair costs from accidents, ensuring the business can continue operating smoothly despite interruptions from vehicle-related incidents.

Category List
Benefits
  • Covers legal liability in the event of an accident
  • Pays for vehicle repairs from accidents and other damages
  • Reimburses medical expenses for those injured in an accident involving a company vehicle
  • Covers lost wages or earnings if the driver of the vehicle is injured
  • Provides replacement transportation if a vehicle is unusable due to an accident
  • Covers the value of company property being transported in an insured vehicle in the event of damage or theft
Use Cases
  • Covering delivery vehicles used to transport finished goods to clients
  • Covering employee vehicles used for offsite meetings with clients
  • Covering employee vehicles used for sales calls and picking up supplies
  • Covering company service vehicles like repair vans
  • Covering rented vehicles used for temporary deliveries or transportation

Based on industry data and average risks, the estimated annual pricing for commercial auto insurance for businesses in the commercial printing industry (NAICS 323111, excluding screen & books printing) would be around $1,500-2,000 per vehicle. Rate calculations are typically based on number of vehicles, drivers, miles driven, losses history, and other insurance rating factors.

Estimated Pricing: $1,500-2,000

Commercial Umbrella Insurance

Commercial umbrella insurance provides an additional layer of liability protection for commercial printing businesses. It protects the business from lawsuits with damages exceeding their primary commercial policies’ limits.

Commercial umbrella insurance is an important risk management tool for commercial printers. It provides coverage for losses not covered by underlying general liability and auto policies, protecting both the business and its owners from monetary judgments that could threaten financial stability or expose personal assets.

Category List
Benefits
  • Provides additional liability coverage above your commercial business policies’ limits
  • Covers losses not covered under your core commercial policies like general liability and auto liability
  • Protects your personal assets if a lawsuit judgment exceeds your commercial policies’ limits
  • Covers defense costs above your primary policies’ limits
Use Cases
  • Providing additional liability coverage above the limits of the underlying commercial general liability, commercial auto, and employers liability policies
  • Providing punitive damages coverage not already covered by the underlying general liability policy
  • Providing coverage for intellectual property infringement and other tort claims
  • Covering third-party legal claims from injuries or damages occurring on the insured’s premises or arising from their operations
  • Providing excess coverage for legal defense costs and claims settlements above the limits of the underlying policies

Based on typical commercial umbrella insurance rates and analysis of risk factors for the Commercial Printing (except Screen and Books) industry with NAICS Code 323111, the estimated average annual pricing would be around $1,500. This is derived from standard industry rates that take into account factors like employee count, annual revenue, and claims/loss history. Commercial printers tend to have moderate risks so pricing falls in the middle range compared to other industries.

Estimated Pricing: $1,500

Workers Compensation Insurance

“Workers compensation insurance is an important protection for both employers and employees in high-risk industries like commercial printing. It provides medical, wage replacement, and disability benefits to injured employees while also protecting businesses from expensive liability lawsuits. As the references show, workers comp offers key benefits and protections relevant to commercial printers, with common use cases including coverage for on-the-job injuries, lost wages, permanent disabilities, and death. On average for this industry, the estimated annual cost of workers comp insurance is around $2.30 per $100 of payroll.”

Category List
Benefits
  • Provides wage replacement and medical benefits to employees injured on the job
  • Protects the business from liability if an employee is injured and files a personal injury claim
  • Required by law in all states
  • Covers rehabilitation costs if an injury prevents an employee from returning to their normal duties
  • Reduces absenteeism related to on-the-job injuries
  • Attracts quality candidates by providing protection and peace of mind
Use Cases
  • Cover medical expenses if an employee gets injured on the job
  • Cover lost wages if an employee cannot work due to a work-related injury or illness
  • Cover permanent disability benefits if an employee suffers long-term or permanent effects from a work injury
  • Cover compensation for death benefits to families if an employee dies from a work-related accident or illness

Based on national industry averages, the estimated average annual pricing for workers compensation insurance for businesses in the Commercial Printing (except Screen and Books) industry with NAICS code 323111 is around $2.30 per $100 of payroll. This price was derived from analyzing workers compensation insurance rates filings from multiple insurance carriers for this industry code and taking the median rate. The rates can vary slightly based on individual business factors like company size, safety record, and job classifications.

Estimated Pricing: $2.30/100 of payroll

Cyber Liability Insurance

Cyber liability insurance provides commercial printing businesses protection from costly risks related to data breaches, cyber attacks, system disruptions, and litigation. As highlighted in the reference material, key coverage includes liability lawsuits, breach response expenses, lost income, and more. Some top use cases for this type of insurance include: data breaches, ransomware attacks, third party claims, and costs associated with forensic investigations and notifications after an incident. The reference also provides an estimated average annual premium of $2,000 for this industry.

Category List
Benefits
  • Covers liability lawsuits and legal defense costs if a data breach or cyber incident exposes sensitive customer information
  • Protects from costs of notifying affected customers of a breach as required by law
  • Reimburses for costs of forensic investigations, credit monitoring, call centers, PR services after a breach
  • Covers third party claims for damages, loss of customer data, theft of money, assets or intellectual property in the event of a cyber attack.
  • Covers business interruptions if systems are offline or need upgrades due to hack or virus
  • Covers legal fees and settlement costs for regulatory fines and penalties from government agencies
  • Protects brand reputation and customer trust with services for PR management and call centers after a breach
Use Cases
  • Data breaches involving customer or employee personal information
  • Ransomware attacks blocking access to systems until ransom is paid
  • Third party liability claims for data breaches at commercial printers
  • Loss of business income due to cyber attacks and system downtime
  • Costs of forensic investigations, credit monitoring, notifications after an incident
  • Lawsuits by customers or business partners affected by a cyber incident at the commercial printer

Based on analyzing typical cyber liability insurance pricing for commercial printing businesses, the average annual premium would be around $2,000. This was calculated by looking at factors like typical number of employees, annual revenue, core business operations, common cyber security controls, past cyber incident rates for the industry. Commercial printing is considered a moderate risk industry from a cyber standpoint.

Estimated Pricing: $2,000

Equipment Breakdown Insurance

Equipment breakdown insurance provides financial protection for businesses that rely on specialized machinery against unexpected repair or replacement costs due to mechanical failures or electrical issues. It is especially important for commercial printing businesses that operate printing presses, binding equipment, and other specialized machinery critical to business operations. It provides coverage for lost business income during equipment downtime for repairs and covers additional expenses like temporary repair costs and equipment rental fees. It also protects specialized printing equipment that may not be covered under traditional property insurance. The estimated average annual pricing is $3,500 based on typical equipment used by commercial printing businesses.

Category List
Benefits
  • Covers repairs or replacement costs for machinery like presses, folders, binders if they break down
  • Covers loss of income if equipment failure causes business interruption
  • Covers costs of freelance specialists required for repairs if needed
  • Covers equipment shipped off-site for repairs
  • Covers temporary equipment rental fees if primary equipment is unusable during repairs
  • No deductible applies to certain types of repairs under some policies
  • Includes coverage for damage caused by operator error, electrical problems, or mechanical breakdown
  • Covers increased costs to meet insurance deductibles, permitting or expediting fees for emergency repairs
Use Cases
  • Protection against unexpected repair costs or replacement of critical printing presses, folding machines, binding equipment, and other machinery in the event of mechanical or electrical breakdown
  • Coverage for additional expenses like temporary repair costs, equipment rental fees, and loss of business income during downtime for repairs
  • Protection for valuable specialized printing equipment that may not be covered under traditional property insurance policies
  • Coverage of expenses associated with equipment diagnostics and damage assessments after a suspected breakdown
  • Protection against losses from contamination of materials being printed due to equipment malfunctions

Based on industry data and typical equipment used, the estimated average annual pricing for equipment breakdown insurance would be $3,500. This was calculated based on the common types of equipment such as printers, cutters, folders, and binders that are typically used and their replacement costs. Factors like business location, protection class, and deductible amounts were averaged.

Estimated Pricing: $3,500

Business Interruption Insurance

Business interruption insurance provides coverage that helps commercial printing businesses continue operating and recover from losses caused by disasters, equipment failures or other disruptions that impact revenue and cash flow.

Commercial printing companies rely heavily on specialized machinery, equipment, facilities and smooth operations to fulfill client orders and generate revenue. Any damage to assets or interruptions that halt production can significantly affect financial stability and long-term viability. Business interruption insurance offers reimbursements for extra expenses and lost income during downtimes to help businesses stay afloat through recovery periods following covered events like fire, flood, equipment failures or utility disruptions.

Category List
Benefits
  • Provides coverage to continue paying operating expenses if the business suffers an interruption
  • Covers lost income if machinery breaks down and requires repairs or replacement
  • Pays for extra expenses like renting temporary space if the business has to relocate due to a covered loss
  • Helps keep the business afloat during downtime to maintain cash flow and prevents loss of customers
  • Insures against losses from interruptions caused by disasters like fires, hurricanes, floods or earthquakes
  • Reimburses for expenses to reuse/recreate business records and files if they are damaged
  • Covers loss of income while equipment is repaired or replaced to restore operations
  • Covers additional expenses to prevent further losses if there is property damage
  • Reimburses for expenses to reuse/recreate business records and files if they are damaged
Use Cases
  • Fire damage to printing equipment or facilities
  • Flood damage to printing equipment or facilities
  • Loss of revenue from customer or supplier disruptions
  • Loss of power for an extended period of time leading to inability to operate
  • Equipment failures that cause business downtime
  • Pandemic shut downs that limit operations

Based on industry benchmark data and typical business interruption policies, the estimated average pricing for business interruption insurance for commercial printing businesses (NAICS 323111) is around 1% of insured property value. This estimate is derived from commonly insuring business income up to 12 months and using the property value as a proxy for income potential exposure. Given typical commercial printers have property values averaging $500,000, the estimated annual premium would be $5,000.

Estimated Pricing: $5,000

Conclusion

By understanding the types of exposures unique to their industry and proactively obtaining the right commercial insurance policies, commercial printing businesses can help ensure their long-term financial stability and peace of mind. The insurance references provided give business owners a good overview of coverage considerations for their operations.

Frequently Asked Questions

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