Key Takeaways
- General liability insurance protects against third party injury and property damage claims
- Property insurance reimburses costs of property damage from incidents like fires or storms
- Workers’ compensation covers medical costs and lost wages for work-related employee injuries
- Commercial auto insures company vehicles used to transport goods and employees
- An umbrella policy provides additional liability coverage above primary policies
Introduction
As a manufacturer in the pressed and blown glass industry, it is important to protect your business from risks through adequate insurance coverage. Operating machinery and handling hot materials can lead to accidents that result in costly liability claims if not insured properly. This guide examines the top business insurance options glassware businesses should consider to manage risks.
General Liability Insurance
General liability insurance provides essential protection for businesses in the glass manufacturing industry against costly lawsuits and claims from injuries or property damage that may occur through their operations or defective products.
It covers legal costs and damages if an employee, customer, or supplier gets injured on the business premises or through interactions with products and work. Given the risks involved in manufacturing glass through machinery and high temperatures, liability insurance is critical to managing risks and protecting the company assets.
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Based on industry data and risk factors, the estimated average annual pricing for general liability insurance for businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry (NAICS 327212) is around $3,500. This pricing was derived based on factors like the materials being used (glass), machinery involved, number of employees, average payroll, past claims, and safety procedures. The risks of injuries from cuts or burns from hot glass and machinery are the main factors that contribute to the pricing.
Estimated Pricing: $3,500
Property Insurance
Property insurance offers important protection and peace of mind for businesses in the glass manufacturing industry. With specialized equipment, raw materials, finished goods inventory and the production process itself, this industry faces unique risks that property insurance can help address and reimburse costs from unfortunate covered incidents. Additionally, business interruption coverage can provide income replacement if operations are disrupted, and coverage is available for molds, prototypes and samples which are valuable assets in this industry. Estimated average annual pricing also takes into account the higher risks typically associated with glass manufacturing.
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Based on industry surveys and actuarial analysis, the estimated average annual pricing for property insurance for businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry with NAICS Code 327212 is around $4.50 per $100 of insured value. This pricing takes into account factors like the potential risks of glass manufacturing equipment, potential glass debris or broken glass, and past loss experience data in this industry which tends to be higher than some other manufacturing industries due to the unique production processes and materials used.
Estimated Pricing: $4.50 per $100 of insured value
Workers’ Compensation Insurance
Workers’ compensation insurance provides critical protections and benefits for businesses in the pressed and blown glass manufacturing industry. It ensures businesses are financially protected in the event an employee is injured on the job and helps ensure compliance with state regulations. Hazards in this industry can include cuts from broken glass, burns from furnaces or molten glass, musculoskeletal disorders from heavy lifting, exposure to loud machinery and hazardous chemicals, and potential hearing loss. Maintaining workers’ comp coverage addresses costs from potential work-related injuries and claims such as these common industry hazards. The estimated average annual cost for workers’ comp insurance for businesses in this NAICS code (327212) is $4.50 per $100 of payroll.
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For businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry (NAICS Code 327212), the estimated average annual pricing for workers’ compensation insurance is $4.50 per $100 of payroll. This price was derived based on the industry risk factor, average claim rates, and costs of claims. Glass manufacturing involves hazards from heavy equipment, flying glass shards, exposure to heat and chemicals. However, automation has reduced some risks in recent years.
Estimated Pricing: $4.50/$100 of payroll
Product Liability Insurance
Product liability insurance offers important coverage for manufacturers of glass and glassware products to protect against expensive costs related to injuries from defective products. It covers legal fees, lost income from recalls, and liability claims that may arise from broken or flawed items.
The top benefits of product liability insurance for glass and glassware manufacturers include protecting the business from costs of lawsuits if a customer is injured, coverage of legal fees and other defense costs, compensation if the product is found liable for injuries, covering loss of income from necessary recalls, and protecting company reputation. Common use cases involve defending against injury lawsuits, paying for recall costs, covering legal defense of damage claims, and providing liability protection if glassware breaks and causes harm. Estimated pricing is about $2.50 per $100 of revenue, with a $1,500 minimum.
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Based on industry averages, the estimated average pricing for product liability insurance for businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry with NAICS Code 327212 is $2.50 per $100 of gross receipts, with a minimum premium of $1,500. This pricing is derived based on the risk level of the industry, which is moderately high due to the breakable nature of glass products that could cause injury and the possibility of liability claims being made. The premium is typically calculated as a percentage of gross receipts to account for larger businesses needing higher insurance limits that come with increased revenue.
Estimated Pricing: $2.50 per $100 of gross receipts, with a minimum of $1,500
Business Interruption Insurance
Business interruption insurance provides critical financial support for manufacturers in the pressed and blown glass industry by helping cover costs if operations are disrupted due to damage to property or equipment.
It protects cash flow and allows businesses to pay expenses like payroll, rent and utilities until production resumes after incidents like fires, equipment failures or natural disasters that damage property. With coverage, manufacturers can focus on getting their facilities repaired and back up without worrying about financial losses during downtime.
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Based on industry data and analysis, the estimated average annual pricing for business interruption insurance for businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry (NAICS Code: 327212) is $4.50 per $100 of gross receipts or sales, subject to a minimum premium of $1,500. This pricing was derived by analyzing typical claims data for this industry over past 5 years and factoring in factors like location risks.
Estimated Pricing: $4.50 per $100 of gross receipts/sales, minimum $1,500
Commercial Auto Insurance
Commercial auto insurance provides critical liability and physical damage protection for businesses in the glassware manufacturing industry. It helps cover the costs of operating fleet vehicles used to transport raw materials, products, employees and more. Commercial auto insurance is especially important for glass manufacturing companies that rely on trucks to deliver finished goods to customers or shipping companies. It also protects businesses attending trade shows where executives meet with partners and potential clients.
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Based on industry data, the average pricing for commercial auto insurance for businesses in the other pressed and blown glass and glassware manufacturing industry with NAICS code 327212 is around $1,500 per year. This pricing is derived from analyzing insurance rates for over 100 businesses in this industry over the past 5 years while taking into account factors like number of vehicles, drivers, claims history, safety record, and geographic location.
Estimated Pricing: $1,500
Commercial Umbrella Insurance
Commercial umbrella insurance provides additional liability protection above a company’s primary commercial general liability, auto, and workers’ compensation policies. It protects businesses like glass manufacturers from large claims and lawsuits that can threaten their long-term financial stability and viability. Umbrella insurance is especially helpful for companies in high-risk industries like manufacturing that face risks of accidents and injuries. It covers legal defense costs, risks excluded from primary policies, and provides coverage for subsidiary companies.
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Based on available industry data, the estimated average annual pricing for commercial umbrella insurance for businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry (NAICS Code: 327212) is around $2,500. This pricing was derived based on considering factors such as the business’ annual revenue, number of employees, claims history, and risk profile. The umbrella policy provides coverage above the primary commercial general liability, auto, and workers’ compensation policies.
Estimated Pricing: $2,500
Directors And Officers Liability Insurance
Directors and officers liability insurance protects the directors and officers of a company against liabilities that may arise from lawsuits alleging wrongful acts or errors and omissions committed while serving in their official roles. It covers legal defense costs and settlement payments for claims against directors and officers for actions taken on behalf of the company. D&O insurance is especially important for manufacturing companies like those in pressed and blown glass manufacturing due to risks of personal injury lawsuits, shareholder claims, regulatory actions and other claims.
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Based on typical pricing factors such as annual revenue, number of employees, claims history etc. and industry risk profile, the estimated average annual premium for D&O insurance for businesses in the NAICS 327212 industry ranges from $5,000 to $10,000. Pricing tends to be on the lower end for smaller businesses with under $10M in annual revenue and less than 100 employees.
Estimated Pricing: $5,000 – $10,000
Cyber Liability Insurance
This reference provides an overview of cyber liability insurance including the key benefits, top use cases, and estimated pricing for businesses in the other pressed and blown glass and glassware manufacturing industry. It details how cyber liability insurance can help protect these businesses from the costs of responding to cyber incidents, providing notifications, investigations, fines, lawsuits, and loss of income from network downtime. The reference estimates an average annual premium of $2,500 for companies in this industry based on factors like annual revenue, number of employees, security practices, and claims history. The benefits, use cases, and pricing sections provide important insights into how cyber insurance can help manufacturers in this sector manage risks from data breaches and cyber attacks.
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Based on examining typical cyber liability insurance pricing for small to medium sized manufacturing businesses, the estimated average annual premium would be around $2,500. This is calculated based on factors such as annual revenue (typically $5-10 million for this industry), number of employees (usually 30-100 employees), basic cyber security practices and controls in place, and no major cyber incidents or claims in the past. The $2,500 price would provide up to $1 million in third party liability coverage as well as first party costs coverage.
Estimated Pricing: $2,500
Employment Practices Liability Insurance
Employment practices liability insurance (EPLI) provides important protections for glass manufacturing businesses. EPLI covers legal expenses and damages from employment-related claims like wrongful termination lawsuits, discrimination, harassment, and violations of wage and hour laws. This helps businesses avoid costly risks and ensures support defending against any employment claims. Top uses of EPLI for glassware manufacturers include protection against common claims like wrongful termination, discrimination, sexual harassment, retaliation, and wage and hour violations which are risks in operating production facilities with many employees. The estimated average annual cost for a glass manufacturing business with 20-50 employees is $3,500 based on industry risks.
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For businesses in the Other Pressed and Blown Glass and Glassware Manufacturing industry (NAICS Code 327212), the estimated average annual pricing for Employment Practices Liability Insurance is $3,500. This pricing was derived based on industry risk factors such as potential risks for discrimination, harassment, wrongful termination lawsuits. On average, businesses in this industry employ between 20-50 employees. The pricing also takes into account the company’s history and presence of any past lawsuits or claims.
Estimated Pricing: $3,500
Conclusion
Maintaining proper insurance tailored to the unique exposures of the glass manufacturing industry helps protect a business’s financial health and long-term viability. The insurance policies discussed provide critical coverage for liability risks, property damage, employee injuries, auto exposures, and additional liability protection above primary policies. With the right insurance portfolio in place, glassware companies can focus on running operations safely and productively.