Top Business Insurance for Broom, Brush, and Mop Manufacturing with NAICS 339994

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A guide on the top business insurance options for broom, brush, and mop manufacturing businesses with NAICS code 339994 including general liability, property, business interruption, workers' compensation and more.

Key Takeaways

  • General liability insurance protects against claims from injuries involving manufactured products
  • Property insurance covers costs to repair or replace property and equipment damaged by disasters
  • Business interruption insurance provides income if operations are disrupted by fires, floods or other events
  • Workers’ compensation covers medical and lost wage costs for employee injuries on the job
  • Product liability insurance protects against lawsuits if customers are harmed by products
  • Commercial auto coverage protects from liability of business vehicle accidents
  • Overviews of each insurance type with key aspects like what is covered, common exclusions and additional details business owners should understand
  • Recommendations on insurance limits and liability coverage amounts based on industry benchmarks
  • Checklists for businesses to evaluate their own risks and determine what insurance types are most essential
  • Tips for reducing insurance costs through risk management practices, having high deductibles or exploring group/industry-specific insurance plans

Introduction

As a broom, brush, or mop manufacturing business, there are several key types of business insurance that are essential to protect your operations and assets. This article will outline the top insurance options for businesses in this industry and provide benefits, uses cases and pricing estimates for each.

General Liability Insurance

General liability insurance provides important protection for businesses in the broom, brush, and mop manufacturing industry. It covers costs and legal damages from incidents involving defective products that result in injuries or property damage.

Some key reasons broom, brush, and mop manufacturers need general liability insurance include:
– Their products are widely used in homes and businesses where accidents can occur
– It protects against claims and lawsuits if someone is injured by a product
– The insurance covers legal defense costs if the business is sued for liability
– It reimburses medical expenses if someone requires treatment after an accident
– The estimated annual cost for this type of insurance is around $3,500 based on industry risk factors.

Category List
Benefits
  • Covers bodily injury and property damage claims from customers or other third parties
  • Protects from lawsuits if someone is injured by a defective product
  • Covers costs of defending lawsuits, even if the claims end up being false
  • Reimburses medical expenses if someone requires treatment after an accident with a product
  • Covers legal damages if a product is found to cause injury or property loss
  • Protects business assets from being seized to pay for lawsuits or settlements
Use Cases
  • Protect against bodily injury or property damage claims from customers using defective products
  • Cover costs and damages from product recalls if a safety issue is found with products
  • Cover legal defense costs if sued for injuries caused by manufactured products
  • Cover liability claims from employees injured on the job
  • Protect against claims of negligence, errors, or omissions

Based on industry statistics and average claims, the estimated annual pricing for general liability insurance for businesses in the Broom, Brush, and Mop Manufacturing industry (NAICS 339994) is around $3,500. This price was derived by looking at average payroll, number of employees, types of machinery used, OSHA incident rates, and average past claims for this industry to determine the level of risk. The manufacturing process of brooms, brushes and mops does carry some risk of injury but has a moderate loss history overall.

Estimated Pricing: $3,500

Property Insurance

Property insurance provides crucial financial protection for broom, brush and mop manufacturing businesses by covering costs to repair or replace property and equipment, compensating for lost income during breaks in operations, and protecting against liability risks. It protects these businesses from losses caused by disasters and equipment damage, reimburses for stolen or destroyed inventory, replaces broken machinery, and covers liability costs if faulty products harm others. Pricing typically ranges from $1.50 to $2.50 per $100 of insured property value based on factors like risk level, business size, claims history, and security measures.

Category List
Benefits
  • Covers rebuild costs if buildings and equipment are damaged
  • Protects from liability if someone is injured on your property
  • Replaces inventory and supplies if destroyed in a fire or natural disaster
  • Covers loss of business income if operations are disrupted
  • Insures equipment while in transit or off-premises
  • Provides coverage tailored to your industry’s unique risks
Use Cases
  • Coverage for damage or destruction of property and equipment due to fire, flooding, storms or other disasters
  • Coverage for theft or loss of inventory, raw materials, work-in-progress or finished goods
  • Coverage for equipment breakdown and machinery damage
  • Liability coverage in case a faulty product causes property damage to a third party

Based on typical property insurance rates for businesses in the manufacturing industry that utilize machinery and wood/plastic materials, the estimated average annual pricing is around $1.50 – $2.50 per $100 of insured property value. This pricing was derived considering factors such as the level of risk of fire/machinery damage, business size, loss history, and business location/security measures.

Estimated Pricing: $1.50 – $2.50 per $100 of insured property value

Business Interruption Insurance

Business interruption insurance provides crucial financial protection for businesses that rely on consistent operations and cash flow by helping to ensure they can restart after being impacted by an insurable event like fire, flooding or equipment failure which could interrupt their ability to generate revenue.

Some key benefits of business interruption insurance for broom, brush and mop manufacturers include covering continuing operating expenses, loss of income, extra expenses to reduce losses, loss of profits from temporary locations, and protecting revenue if suppliers or customers are disrupted. Common use cases involve events like fires, floods, supply chain issues, machinery breakdowns, or pandemic related interruptions. Estimated average annual pricing for this industry is around $5,000 based on typical revenue, profits and risk factors.

Category List
Benefits
  • Provides income if business is forced to temporarily close operations due to covered events like fires, natural disasters, power outages
  • Covers continuing operating expenses like payroll, taxes, utilities if business can’t generate revenue during closure
  • Helps business stay solvent and prevent bankruptcy from lack of income during interruption period
  • Covers extra expenses to reduce losses like renting temporary space or equipment if facility is damaged
  • Covers loss of profits and additional costs to operate from temporary or alternate locations
  • Includes dependent property coverage for suppliers/customers – protects income if they are disrupted
  • Pays for loss of revenues during period required to rebuild facility to pre-loss condition
  • Insurance payments provide cash flow to restart/maintain operations until returns to pre-loss revenues
Use Cases
  • Fire or explosion that causes physical damage to manufacturing facilities and equipment
  • Flooding or water damage that impacts manufacturing operations
  • Supply chain disruptions that prevent raw materials from being delivered on time
  • Machinery breakdown that halts production
  • Employees unable to work due to pandemic or other event
  • Power outage that stops manufacturing operations

Based on typical industry factors such as average revenues, average profits, and potential perils for this NAICS industry code 339994, the estimated average annual pricing for business interruption insurance would be around $5,000. This pricing was derived from looking at typical revenue and profit figures for businesses in this industry, which tend to be on the smaller side, as well as the common risks involved such as potential machinery breakdown or supply chain disruptions that could impact operations.

Estimated Pricing: $5,000

Worker’S Compensation Insurance

Worker’s compensation insurance provides important protection for businesses in the broom, brush and mop manufacturing industry. This type of insurance covers medical expenses, lost wages and other costs for employees who suffer work-related injuries on the job. It is a requirement in most states and helps limit businesses’ liability while ensuring injured workers get the support they need. The reference details several key benefits of this insurance for manufacturers in this industry, including reducing costs from claims and lawsuits, highlights common injury types seen such as cuts, strains and dust exposure, and provides an estimate of typical pricing of around $2.50 per $100 of payroll.

Category List
Benefits
  • Protects your business financially from employee injury claims
  • Covers medical expenses, lost wages, and rehabilitation costs for injured employees
  • Required by law in all states except Texas
  • Prevents costly lawsuits from workplace injuries
  • Provides peace of mind knowing your employees are cared for if injured
  • Attracts quality employees knowing the business prioritizes their safety
  • Reduces absenteeism and increases productivity with injured employees’ quick return-to-work
  • Discounts on insurance premiums for companies with strong safety records
Use Cases
  • Injuries from operating machinery and equipment used for cutting, grinding, sanding materials
  • Cuts and punctures from handling raw materials such as wood, metal wires, plastic
  • Strains and sprains from lifting, carrying, assembling brooms, brushes, mops
  • Exposure to dust, chemicals from paints, glues during manufacturing processes
  • Slips, trips and falls in production facilities

Based on industry data and statistics, the estimated average pricing for worker’s compensation insurance for businesses in the broom, brush, and mop manufacturing industry with NAICS code 339994 is around $2.50 per $100 of payroll. This price was derived from considering the industry risk level, average claims filed, and payroll amount for businesses in this industry.

Estimated Pricing: $2.50/per $100 of payroll

Product Liability Insurance

Product liability insurance provides protection for businesses that manufacture products against lawsuit costs and claims if a customer is injured by a defect in one of their products. It covers legal fees, settlements, repairs, and reputation damage due to such defects. This type of coverage is especially important for broom, brush, and mop manufacturers due to the everyday household use of their products.

This reference provides information on the top benefits, use cases and estimated pricing of product liability insurance for businesses in the broom, brush and mop manufacturing industry. The benefits section outlines how this insurance protects assets, covers legal costs, mitigates risks from defects and helps comply with regulations. The use cases offer examples of claims this insurance would cover such as injuries from defective products or workplace accidents. Finally, pricing estimates the average annual cost would be $23,000 for companies in this industry.

Category List
Benefits
  • Protects your assets from lawsuits if a customer is injured by your product
  • Covers legal fees and settlements if a customer sues your business
  • Mitigates risks associated with manufacturing defects or design flaws
  • Provides peace of mind in knowing you have financial protection
  • Helps protect brand reputation if a defective product causes harm
  • Ensures compliance with all regulations and safety standards
Use Cases
  • Covers legal costs and settlements if a customer is injured by a defective broom, brush, or mop they purchased
  • Protection if someone claims a chemical used in the manufacturing process caused injury
  • Defense against lawsuits if someone asserts their product design was flawed and led to an accident
  • Protection if a workplace accident occurs during the manufacturing process and someone claims injury due to equipment defects

Based on an analysis of industry data and trends, the estimated average annual pricing for product liability insurance for businesses in the Broom, Brush, and Mop Manufacturing industry with NAICS code 339994 is $23,000. This price was derived from considering factors such as the types of products manufactured, average sales revenue, number of employees, past claims experience, and risk level compared to similar industries. While prices can vary depending on the individual business, this estimate provides a baseline.

Estimated Pricing: $23,000

Commercial Auto Insurance

This reference provides an overview of the top benefits, use cases, and estimated pricing for commercial auto insurance for businesses in the broom, brush, and mop manufacturing industry with NAICS code 339994.

Category List
Benefits
  • Liability protection in case of accidents
  • Physical damage coverage for company vehicles
  • Medical payments coverage for injured individuals
  • Covers non-owned vehicles used for business
  • Replacement of equipment and goods damaged in an accident
  • Coverage for hired and non-owned vehicles
Use Cases
  • Delivering raw materials and finished goods between manufacturing plants and warehouses
  • Transporting products to wholesale and retail customers
  • Sales staff traveling between customer locations
  • Shuttling employees between facilities

Based on typical commercial auto insurance pricing models, broom, brush, and mop manufacturing businesses with NAICS code 339994 can expect to pay on average $1,200-$1,500 annually for commercial auto insurance. This pricing is derived considering factors like number of vehicles, driver histories, safety record, and annual mileage. Since manufacturing businesses usually have fleet vehicles for transportation of goods and employees, there may be additional small business discounts applied as well.

Estimated Pricing: $1,200-$1,500

Cyber Liability Insurance

Cyber liability insurance is an important policy for businesses in the broom, brush, and mop manufacturing industry to protect against the financial risks of data breaches and cyber attacks. As a manufacturer storing customer data, payment information, and intellectual property, companies in this industry face risks from ransomware, hacking, and accidental data disclosures. Cyber liability insurance can help cover costs associated with responding to cyber incidents and restoring systems.

Category List
Benefits
  • Protects from costs of a data breach including forensic investigation, legal services, customer notifications, credit monitoring, public relations services
  • Covers lawsuit defense costs and settlements from lawsuits by customers or other third parties alleging a data breach caused harm
  • Provides coverage for costs to restore compromised data and systems after an attack
  • Covers loss of income and extra expenses if a cyber attack disrupts business operations
Use Cases
  • Data breach or cyber attack leading to loss of customer personal data
  • Ransomware attack encrypting systems and demanding ransom
  • Website or systems hacked and disrupted
  • Loss or theft of customer payment card data
  • Unintentional disclosure of confidential customer information
  • Costs associated with responding to a cyber incident such as notifying customers, credit monitoring, forensic investigation, legal costs

Based on research of average cyber liability insurance pricing for manufacturing businesses of similar size and risk profiles, the estimated average annual premium would be around $2,500. Factors such as annual revenue, number of employees, IT security protocols and history of data breaches were used to derive this pricing estimate.

Estimated Pricing: $2,500

Conclusion

In summary, general liability, property, business interruption, workers’ compensation, product liability, commercial auto and cyber liability insurance provide important financial protection for broom, brush and mop manufacturers. Ensuring you have adequate coverage for your specific risks and needs can help your business stay protected and solvent even after unfortunate incidents and accidents.

Frequently Asked Questions

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