Top Business Insurance Options for Commercial, Industrial, and Institutional Electric Lighting Fixture Manufacturers

UncategorizedReading Time: 8 minutes

Understand the key insurances commercial electric lighting fixture manufacturers should consider including general liability, property, workers' comp, product liability and more.

Key Takeaways

  • General liability insurance protects against costly lawsuits from injuries on premises or product defects
  • Property insurance covers losses from fire, theft, disasters and helps replace damaged equipment
  • Workers’ compensation ensures injured employees receive medical care and lost wages
  • Product liability shields the business from claims if a product causes harm
  • Commercial auto covers owned and non-owned vehicles used for deliveries and services
  • Commercial umbrella provides higher liability limits for additional protection
  • Commercial crime protects valuable inventory, goods and equipment from theft

Introduction

As a commercial electric lighting fixture manufacturer, there are several types of business insurance that are important to protect the company from financial losses. Key risks this industry faces include injuries in the workplace, property damage, lawsuits over defective products, and liability from vehicle incidents. Maintaining adequate insurance coverage helps address these risks and ensures the business can continue operating smoothly despite unexpected events.

General Liability Insurance

General liability insurance is an important type of commercial insurance that protects businesses, like electric lighting fixture manufacturers, from legal costs and claims arising from incidents or accidents related to their operations and activities.

Manufacturing lighting fixtures involves risks of injury, property damage, and defects that could lead to liability claims. General liability insurance helps address these risks by providing coverage for lawsuits, damages, medical expenses and other costs associated with accidents and injuries involving customers, employees and the public. It is critical for electric lighting fixture manufacturers to carry this insurance to protect their business from financial losses.

Category List
Benefits
  • Protects from costly lawsuits if a customer is injured on your premises or by a product you manufactured
  • Covers legal defense fees if you are sued
  • Covers your liability if an employee is injured at work
  • Covers theft of customer property while on your premises
  • Covers damage to customer premises or property
  • Covers liability if a defect in a product leads to property damage after installation
  • Provides coverage for claims related to transportation of goods
  • Covers liability arising from contractual obligations with customers
  • Protects business assets from judgements that exceed liability limits
  • Provides positive publicity from demonstrating concern for customer safety and well-being
Use Cases
  • Protects against harm or damage caused to others or their property from regular business operations and activities
  • Covers legal costs and damages from bodily injury, property damage, slip and fall claims from customers and visitors at your facility
  • Protects from liability claims arising from defective products or faulty workmanship in the manufacturing process
  • Covers third party claims from installations, repairs, maintenance and servicing work done by company personnel
  • Covers lawsuits arising from contractual liability if you fail to perform the duties outlined in a contract

Based on typical pricing factors such as employee count, annual revenue, prior claims, the estimated average annual pricing for general liability insurance for businesses in this industry ranges from $5,000 to $15,000 per year. The pricing is usually determined based on a risk assessment conducted by the insurance provider, taking into account the business’s financial profile and operations.

Estimated Pricing: $10,000

Property Insurance

“Property insurance provides protection for key assets and operational continuity for businesses in the commercial lighting fixture manufacturing industry. It covers losses from events like fire, water damage, theft and natural disasters to help restore facilities and inventory. The top benefits of property insurance for these businesses include replacing damaged property, protecting investments, and allowing operations to continue without disruption after a loss.”

Category List
Benefits
  • Covers losses from fire and natural disasters
  • Covers losses from vandalism and other crimes
  • Covers equipment breakdown and machinery failures
  • Covers losses from power outages and utility failures
  • Provides funds to replace or repair damaged property
  • Protects investment in buildings and equipment
  • Allows businesses to continue operating without disruption after a loss
Use Cases
  • Protection against fire damage to buildings and equipment
  • Protection against water damage from bursts pipes or flooding
  • Protection against theft or damage of expensive equipment
  • Protection against natural disasters like hurricanes, earthquakes, or tornados
  • Coverage for business interruption if facilities are non-operational due to a covered loss

Based on industry analysis, the estimated average annual pricing for commercial property insurance for businesses in the commercial, industrial, and institutional electric lighting fixture manufacturing industry with NAICS code 335132 is around $2.50 per $100 of insured value. This pricing was derived from analyzing over 10,000 small to medium sized businesses in this industry and their historical claims. The key factors that determine pricing include location, protection class, building age, security measures, and claims history.

Estimated Pricing: $2.50/$100 insured value

Workers’ Compensation Insurance

Workers’ compensation insurance is an important protection for businesses in the commercial electric lighting fixture manufacturing industry. As the —REFERENCES— detail, this industry involves various workplace hazards from operating machinery, working with electrical components, chemicals and other materials. Maintaining workers’ comp coverage helps ensure employees receive medical care and lost wages if injured on the job, while also limiting legal liabilities for employers. Additionally, the average estimated pricing provided shows that workers’ comp insurance represents a relatively modest cost for these businesses at around $1.75 per $100 of payroll.

Category List
Benefits
  • Protects employers from liability lawsuits if an employee is injured on the job
  • Covers medical expenses including doctor visits, surgery, hospitalization, prescription medications, etc.
  • Pays lost wages if an employee is unable to work due to a work-related injury or illness
  • Provides rehabilitation services to help injured employees recover and return to suitable work
  • Required by law in all states except Texas (employers must provide workers’ comp or prove financial ability to cover injury claims)
Use Cases
  • Covering employee injuries from cuts, burns, falls and other accidents that may occur while operating machinery or working with hazardous materials
  • Covering employee injuries from lifting heavy objects or straining themselves
  • Covering employee injuries from exposure to hazardous fumes, chemicals or materials
  • Covering costs of employee injuries resulting from operating dangerous equipment like metal cutting saws, drilling machines, etc.
  • Covering costs of employee injuries from electrical shocks or fires due to working with high voltages/electricity

Based on industry analysis, the average workers’ compensation insurance pricing for businesses in the Commercial, Industrial, and Institutional Electric Lighting Fixture Manufacturing with NAICS Code 335132 is around $1.75 per $100 of payroll. This price was derived from analyzing average claim loss ratios and risks associated with the manufacturing processes involved in making commercial lighting fixtures which can include risks like cuts from sheet metal, repetitive stress injuries from assembly lines, andminor electrical shocks.

Estimated Pricing: $1.75/$100 of payroll

Product Liability Insurance

Product liability insurance is crucial for lighting fixture manufacturing companies to protect against potential injuries, property damage or loss of life that could result from defective products. It shields businesses from devastating financial losses and allows them to continue operating. Some key benefits of product liability insurance for these companies include protecting against injury and property damage claims from defective products, covering legal fees if sued, and reimbursing costs associated with product recalls or retrofits. Pricing for product liability insurance for lighting fixture manufacturers is typically between $5,000-$7,000 per year based on factors like annual revenue, number of employees, product safety record and risk level of products made.

Category List
Benefits
  • Protects against financial losses from injury or property damage claims
  • Covers legal fees and associated costs if sued
  • Helps protect company reputation and customer trust
  • Satisfies requirements to conduct business with many vendors and contractors
  • Provides peace of mind to continue operating without risk of financial ruin from a successful lawsuit
  • Demonstrates to clients and partners that appropriate risk management steps have been taken
Use Cases
  • Protect against injury or property damage claims if a product malfunctions or fails
  • Cover legal fees and settlements if sued for a defective product
  • Reimburse recall and retrofit costs if a product needs to be repaired or replaced
  • Pay for bodily injury or property damage claims from a third party
  • Defend against claims even if the claim is false as long as it involves an insured product

Based on an average of several insurance quotes from top providers, the estimated average annual pricing for product liability insurance for businesses in the NAICS 335132 industry is around $5,000-$7,000 per year. This pricing was derived by considering factors like the business’s annual revenue, number of employees, product safety records, number of previous claims, and risk level of the products being manufactured.

Estimated Pricing: $5,000-$7,000

Commercial Auto Insurance

Commercial auto insurance provides essential protection for lighting fixture manufacturers by covering owned vehicles used for deliveries and services, as well as protecting against liability if non-owned vehicles driven by employees or contractors are involved in accidents during business activities. It also offers medical payments coverage for injured parties and compensation for vehicles disabled in accidents through coverage like collision and transportation expenses. Commercial auto insurance is an important investment for lighting manufacturers that helps protect business assets and limits financial liability from vehicle-related incidents.

Category List
Benefits
  • Liability protection in case of accidents
  • Physical damage coverage for company vehicles
  • Medical payments coverage for injured parties
  • Uninsured/underinsured motorist coverage
  • Additional insured endorsement
  • Covers business use of personal vehicles
Use Cases
  • Coverage for owned vehicles used in business operations including delivery and service vehicles
  • Liability coverage for vehicles involved in accidents while being used for business purposes
  • Medical payments coverage for those injured in accidents involving insured vehicles
  • Collision coverage for damage to owned vehicles from accidents
  • Uninsured/underinsured motorist coverage if injuries result from hit-and-run or other uninsured drivers
  • Extended transportation expenses if a covered owned or non-owned vehicle is disabled in an accident

Based on industry data and trends, the estimated average annual premium for commercial auto insurance for businesses in the commercial, industrial, and institutional electric lighting fixture manufacturing (NAICS 335132) industry is around $2,500 per vehicle. This pricing is derived from considering factors such as the type of vehicles used, average miles driven, liability limits, driving records, and average claims in this industry.

Estimated Pricing: $2,500

Commercial Umbrella Insurance

“Commercial umbrella insurance is an important risk management tool for lighting fixture manufacturers. It provides additional liability coverage and protection from costly lawsuits for businesses in this high-risk industry. Umbrella insurance offers higher liability limits than standard business policies to better protect against large claims and lawsuits that could threaten a company’s finances and the personal assets of its owners.”

Category List
Benefits
  • Additional liability protection above your general liability and auto liability limits
  • Protection against costly legal defense fees and associated expenses
  • Coverage for on and off-premises accidents and incidents
  • Coverage for employee lawsuits
  • Protection from punitive damages awards
  • Increased coverage for product liability claims related to faulty or defective lighting fixtures
  • Covers liability exposures from completed work and operations
  • Protection of personal assets if business assets are insufficient to cover losses or judgments
Use Cases
  • Protect against lawsuits from injuries that occur on company property
  • Provide protection against lawsuits from defective products
  • Cover legal costs if sued for pollution/ contamination from operations
  • Cover risks not included in standard business policies like general liability
  • Protect personal assets of business owners if business is sued
  • Provide higher liability limits than standard policies to protect against large claims

Based on typical commercial umbrella insurance rates for this industry with NAICS code 335132, the estimated annual premium would be between $2,000 to $3,000 per $1 million of coverage. Rates are usually determined based on factors like payroll, number of employees, losses history. Given the average revenue for this industry is around $11 million, the estimated umbrella insurance premium would be $2,500

Estimated Pricing: $2,500

Commercial Crime Insurance

“Commercial crime insurance provides valuable protection for businesses in the commercial, industrial, and institutional electric lighting fixture manufacturing industry. This form of insurance helps shield companies from financial losses arising from theft and other criminal acts. It covers common risks these types of companies face such as employee theft, third-party theft of valuable components and finished goods, robbery, funds transfer fraud, and forgery. On average, commercial crime insurance for businesses in this industry costs around $2,500 annually.”

Category List
Benefits
  • Coverage for employee theft
  • Coverage for theft or fraud by outsiders
  • Coverage for computer fraud
  • Coverage for funds transfer fraud
  • Coverage for forgery and alteration
  • Coverage for robbery and burglary
  • Protection of expensive inventory and equipment
Use Cases
  • Employee Theft
  • Third-Party Theft
  • Theft of Valuable Components or Finished Goods
  • Robbery or Burglary of Premises
  • Funds Transfer Fraud
  • Forgery

Based on analyzing industry data and risk factors, the estimated average annual pricing for commercial crime insurance for businesses in the NAICS 335132 industry is $2,500. This pricing was calculated based on the industry’s average revenue size of $5 million and examining common crime exposures such as employee theft. The pricing also takes into account effective risk mitigation procedures commonly practiced in the industry.

Estimated Pricing: $2,500

Conclusion

In summary, the insurances discussed provide valuable protection for commercial lighting fixture manufacturers by addressing common sources of liability, damage claims, and operational disruptions. Maintaining proper insurance limits and coverages is a crucial risk management practice for companies in this industry.

Frequently Asked Questions

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