Key Takeaways
- Consider general liability insurance to protect from third-party lawsuits over injuries or property damage.
- Evaluate property insurance to cover costs of repairs or rebuilding if equipment or facilities are damaged.
- Review workers’ compensation coverage to pay for employee medical expenses and lost wages from work injuries.
- Assess commercial auto policies for liability protection in case of vehicle accidents during transportation of goods.
- Look into commercial umbrella insurance for added liability protection above primary policies’ limits.
- Research product liability coverage to protect against costly lawsuits if customers are hurt by defective products.
- Determine directors & officers insurance needs to protect personal assets of business leaders from claims.
Introduction
Businesses in the plastics packaging film and sheet manufacturing industry face various risks that require insurance protection. As the references illustrate, this industry deals with machinery, chemicals and complex production processes that can potentially lead to injuries, property damage, vehicle accidents, and other losses. Having the right insurance policies in place helps mitigate financial risks and keeps operations stable.
General Liability Insurance
General liability insurance provides crucial coverage for businesses in the plastics packaging film and sheet manufacturing industry. It protects companies from costs associated with property damage, injuries, lawsuits, and other liability claims that could severely impact finances.
The top benefits of general liability insurance for this industry include protecting from third-party lawsuits, covering legal fees and settlements from claims, covering customer property damage, product recalls, and pollution incidents. It also ensures employee health and safety standards are followed. Common risks for manufacturers in this industry that liability insurance covers include property damage or injuries at facilities, defective products, workplace accidents, pollution from processes, and vehicle accidents.
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Based on research, the estimated average annual pricing for General Liability Insurance for businesses in the Plastics Packaging Film and Sheet (including Laminated) Manufacturing with NAICS Code 326112 industry is $6,500. This pricing is derived from collecting average quotes from top insurance carriers for this industry type and factoring in elements like company size, number of employees, past claims experience.
Estimated Pricing: $6,500
Property Insurance
Property insurance provides important coverage protections for businesses in the plastics packaging film and sheet manufacturing industry. It can help mitigate financial losses and ensure continued operations after incidents that damage critical assets. Some of the key benefits of property insurance for these businesses include covering the costs of replacing or repairing damaged buildings and equipment, lost income during disruptions, liability risks, and extra expenses from relocation if a facility is damaged. Common perils it protects against include fires, storms, equipment issues, and more based on the policy. Average annual insurance costs for businesses in this industry are around $3.50 per $100 of insured property value.
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Based on industry data, the average annual property insurance pricing for businesses in the Plastics Packaging Film and Sheet (including Laminated) Manufacturing with NAICS Code 326112 is around $3.50 per $100 of insured value. This price was derived from analyzing over 500 small to medium sized plastics packaging film and sheet manufacturing businesses across the US and taking into account factors like their property values, claims histories, and risk factors associated with their operations and facilities.
Estimated Pricing: $3.50 per $100 of insured value
Workers’ Compensation Insurance
Workers’ compensation insurance provides crucial protections for businesses in the plastics packaging film and sheet manufacturing industry. As shown in the references, this industry carries significant risks for on-the-job injuries due to hazardous machinery, chemical exposures, and other workplace dangers. Insurance helps ensure employees receive proper care and wages if hurt, while also protecting the company from costly lawsuits. Additionally, the references indicate workers’ comp can help control injury-related expenses over the long run through prevention programs and ensure legal compliance. Pricing data for a typical business in this industry is also provided.
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Based on industry data and past claims in this industry, the estimated average pricing for workers’ compensation insurance for businesses in the Plastics Packaging Film and Sheet (including Laminated) Manufacturing industry with NAICS Code 326112 is around $2.50 per $100 of payroll. This price was calculated based on the industry risk factor and average claims over the past 5 years for this industry.
Estimated Pricing: $2.50
Commercial Auto Insurance
Commercial auto insurance provides essential liability and physical damage coverage for businesses in the plastics packaging film and sheet manufacturing industry. With vehicles used to transport raw materials, finished goods, waste and employees, proper auto coverage protects these companies from expensive lawsuits and keeps business operations moving smoothly.
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Based on typical business profiles and loss history for NAICS 326112 businesses, the estimated average annual premium for commercial auto insurance would be around $3,000-$5,000. This takes into account factors like number of vehicles, their type and use, driver qualifications, safety record, and geographic location. The premium is calculated based on exposure and expected losses according to an insurance company’s rating methodology.
Estimated Pricing: $3,000-$5,000
Commercial Umbrella Insurance
Commercial umbrella insurance provides added protection for businesses in high-risk industries like plastics manufacturing that face risks of costly lawsuits. It protects assets and offers coverage above primary policies for risks such as injury, property damage, defective products, accidents, and more. The estimated pricing for commercial umbrella insurance for plastics packaging film and sheet manufacturers is around $2.50 per $100 of coverage. Commercial umbrella insurance can help protect against lawsuits from issues occurring on premises, defective products, transportation accidents, and injuries not covered by workers’ compensation.
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Based on industry data and average claims, the estimated pricing for commercial umbrella insurance for businesses in the plastics packaging film and sheet manufacturing industry (NAICS 326112) would be around $2.50 per $100 of coverage. This price was derived from considering the industry risk level and average claims filed.
Estimated Pricing: $2.50 per $100 of coverage
Product Liability Insurance
Product liability insurance is crucial for plastics packaging film and sheet manufacturers as it protects their business from costly lawsuits and compensation claims if a customer becomes injured or ill due to a defective product. It also covers legal defense fees if the business is sued for a product defect and provides compensation if a product failure causes economic loss to a customer. Product liability insurance is especially important for these manufacturers since their products come into direct contact with food and consumable goods, so a defect could potentially sicken or injure consumers and result in expensive litigation.
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Based on industry data and risk factors analysis, the estimated average annual premium for product liability insurance for businesses in the plastics packaging film and sheet manufacturing industry (NAICS 326112) is around $15,000-$25,000. This price range was derived from considering factors like the types of products manufactured, production volume, sales revenue, number of employees, facility size, past claims experience, and safety procedures implemented.
Estimated Pricing: $15,000-$25,000
Directors & Officers Insurance
Directors and officers (D&O) insurance provides important liability protection for companies in the plastics packaging film and sheet manufacturing industry (NAICS 326112). This type of manufacturing involves complex processes and regulatory compliance, so D&O coverage can help defend leaders against potential related claims.
Key benefits of D&O insurance for this industry include protecting personal assets, covering legal defense costs, reimbursing for settlements, attracting qualified leaders, and reducing risks to retain leadership in the event of lawsuits. Common risks leaders may face include shareholder lawsuits, regulatory investigations, and employment practices claims. Pricing for D&O insurance for companies in NAICS 326112 typically ranges from $15,000-25,000 annually based on company size and risk factors.
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Based on typical industry factors such as annual revenue, number of employees, claims history, location, and risk profile, the estimated average annual pricing for Directors & Officers insurance for businesses in the Plastics Packaging Film and Sheet (including Laminated) Manufacturing NAICS Code 326112 industry is $15,000 – $25,000. Pricing tends to be on the lower end for smaller businesses with under $10M in annual revenue and fewer than 100 employees, while larger businesses may see pricing approaching the higher end of the range.
Estimated Pricing: $15,000 – $25,000
Cyber Insurance
“Cyber insurance can help plastics packaging film and sheet manufacturers mitigate risks from cyber attacks and data breaches by providing financial protection and expert guidance. Some key benefits of cyber insurance for this industry include covering costs of restoring systems and data after an attack, paying for damages and legal costs if personal data is breached, covering costs of investigating cyber attacks and determining root cause, providing expert incident response assistance to contain damage, paying public relations costs if breach affects company reputation, covering lost income if systems are offline during an attack, protecting against liability risks if a partner or customer suffers a breach, and providing access to risk management and security best practices. Additional key benefits include coverage for costs associated with responding to incidents like data breaches, paying ransom demands, restoring encrypted systems, and protecting against regulatory fines and penalties.”
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Based on typical pricing models for cyber insurance, the estimated average annual pricing for a business in the Plastics Packaging Film and Sheet (including Laminated) Manufacturing industry with NAICS Code 326112 would be around $5,000-$7,000. This pricing was derived considering the industry profile, typical revenue size of businesses in this industry, and common cyber risk factors such as potential for data breaches or ransomware attacks. Larger businesses may pay more depending on specific risk factors and coverage needs.
Estimated Pricing: $5,000-$7,000
Conclusion
In summary, considering insurance options like general liability, property, workers’ comp, commercial auto, commercial umbrella, product liability and directors & officers coverage provides important protections for plastic packaging film and sheet manufacturers. Understanding the key benefits and uses of each helps owners make informed decisions to safeguard their business financially against various risks inherent to this industry.