Key Takeaways
- General liability insurance protects against bodily injury and property damage claims from customers and employees.
- Property insurance covers damage or theft of business assets like equipment, machinery and inventory.
- Commercial auto insurance provides liability protection for vehicles used for commercial purposes.
- Workers’ compensation insurance covers medical expenses and lost wages for job-related employee injuries.
- Commercial umbrella insurance increases liability limits at an affordable cost.
- Business income insurance protects profits if operations are disrupted.
- Commercial equipment breakdown covers repair costs for specialized machinery failures.
- Commercial cyber liability covers expenses of a data breach or network security failure.
Introduction
As a business in the Other Nonferrous Metal Foundries (except Die-Casting) industry, there are various risks to your operations from manufacturing processes, equipment usage, vehicle usage, and data handling. It’s important to understand the types of business insurance relevant to your industry in order to protect your assets, limit liability, and maintain business continuity in the event of accidents or losses.
General Liability Insurance
General liability insurance is an important coverage for businesses in the other nonferrous metal foundries industry. It protects them from expensive claims and lawsuits that may arise from risks inherent in manufacturing metals, such as workers injuries, product defects, pollution incidents, and more. Some key benefits of general liability insurance for this industry include protecting against third-party bodily injury and property damage claims, providing liability coverage for accidents that occur on business premises, covering products and completed work liability, and including pollution liability coverage for hazardous materials involved in the production process. The estimated pricing for general liability insurance for businesses in this industry is around $12-15 per $100 of payroll based on risk factors such as working with heavy machinery, hot metals that can cause burns, risk of workplace injuries, as well as potential environmental risks from chemical usage and waste disposal.
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Based on industry analysis, the average general liability insurance pricing for businesses in the Other Nonferrous Metal Foundries (except Die-Casting) industry with NAICS Code 331529 is estimated to be around $12-15 per $100 of payroll. This pricing is derived based on risk factors such as working with heavy machinery, hot metals that can cause burns, risk of workplace injuries, as well as potential environmental risks from chemical usage and waste disposal. The price assumes no major losses or claims in the past few years of operations.
Estimated Pricing: $12-15/ $100 of payroll
Property Insurance
Property insurance is an important risk management tool for metal foundries and manufacturing facilities to protect their business assets and operations from unexpected losses. Some key benefits of property insurance for foundries include protection against fire damage, equipment failure or damage, natural disasters, theft or vandalism, and business interruption coverage if operations are disrupted. Estimated average annual pricing for property insurance for foundries is around $4.50 per $100 of insured value based on typical rates.
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Based on typical property insurance pricing for metal foundries and manufacturing facilities, the estimated average annual price for property insurance would be around $4.50 per $100 of insured value. This rate is derived from considering factors like the NAICS code, industry risk profile, average claims data, building characteristics, and protective devices used. The rate also assumes no major losses or claims over the past 5 years.
Estimated Pricing: $4.50/100
Commercial Auto Insurance
Commercial auto insurance provides important liability and property protection for businesses that rely on commercial vehicles as part of their operations. It ensures businesses are protected financially in the event of accidents involving company-owned or employee-owned vehicles used for business purposes.
Commercial auto insurance is essential for businesses in the other nonferrous metal foundries industry as company vehicles will be regularly used to transport employees, carry raw materials, and deliver finished products. Insurance protects the business financially in case of accidents involving company vehicles.
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Based on average data, the estimated annual pricing for commercial auto insurance for businesses in the NAICS 331529 industry is $1,500. This pricing was derived from analyzing average premiums paid by similar manufacturing industries after accounting for factors like number of vehicles, average miles driven, safety record, etc.
Estimated Pricing: $1,500
Worker’S Compensation Insurance
Worker’s compensation insurance provides vital protection for businesses in hazardous industries like metal foundries. It ensures medical coverage and lost wages for injured employees from a variety of workplace risks. Key benefits cover injuries from manufacturing processes, machinery operation, heavy lifting, hazardous exposure, and falls. Estimated annual pricing for metal foundries is around $5.50 per $100 of payroll, helping businesses budget for this important coverage and operate safely in compliance with state law.
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Based on industry risk factors and average claims experience, the estimated annual pricing for worker’s compensation insurance for a business in the Other Nonferrous Metal Foundries (except Die-Casting) industry with NAICS code 331529 would be around $5.50 per $100 of payroll. This rate is derived from NCCI rate filings and considers the industry loss costs, experience modification factor, and other industry-specific adjustments.
Estimated Pricing: $5.50 per $100 of payroll
Commercial Umbrella Insurance
Commercial umbrella insurance provides an important layer of liability protection for businesses in the metals foundry industry. Umbrella insurance increases coverage limits above primary general liability and auto policies to help protect against large loss claims. Umbrella insurance also covers lawsuits involving operations at non-owned locations and claims outside the scope of underlying policies. It defends against allegations of negligence, errors, or omissions and helps protect personal assets if the business is sued and exceeds regular liability limits. Umbrella insurance is an affordable way to gain higher liability protection and reduce insurance costs for foundries handling hazardous materials and machinery.
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Based on industry analysis, the average pricing for commercial umbrella insurance for businesses in the Other Nonferrous Metal Foundries (except Die-Casting) with NAICS Code: 331529 industry would be around $5,000 – $10,000 annually. This pricing is derived based on the industry risk profile which includes handling of molten and hazardous metals as well as machinery. It also factors in average revenue and payroll size of businesses in this industry.
Estimated Pricing: $7,500
Business Income Insurance
Business income insurance, also known as business interruption insurance, protects a company’s profits and cash flow if its operations are disrupted by covered events such as property damage, equipment breakdown, natural disasters, cyber attacks or supply chain issues. This type of coverage is especially important for manufacturers in the Other Nonferrous Metal Foundries industry since any disruption to specialized equipment or facilities could impact production and revenues.
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Based on industry data and risk assessments, the estimated average pricing for business income insurance for businesses in the Other Nonferrous Metal Foundries (except Die-Casting) industry with NAICS code 331529 is $3.50 per $100 of covered revenue. This pricing was derived by analyzing historical claims data for similar manufacturing industries and factoring in considerations like operating processes, equipment used, safety procedures, and geographic location risks.
Estimated Pricing: $3.50/$100 revenue
Commercial Equipment Breakdown Insurance
“Commercial equipment breakdown insurance provides an important protection for nonferrous metal foundries against the financial risks of equipment failures. As businesses in this industry rely heavily on specialized machinery, any breakdowns or outages could result in costly repairs, replacement expenses, lost income, and more. The top benefits of this type of insurance include covering repair/replacement costs, lost profits during downtime, hazardous materials cleanup after failures, temporary equipment rentals to minimize disruptions, and property damage from equipment malfunctions.”
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Based on the average equipment values and replacement costs for businesses in the Other Nonferrous Metal Foundries (except Die-Casting) industry, the estimated annual premium for a typical $5 million equipment breakdown insurance policy would be around $7,500. This was calculated based on an industry average rate of 1.5% of insured equipment values.
Estimated Pricing: $7,500
Commercial Cyber Liability Insurance
Commercial cyber liability insurance provides financial protection and risk management resources for businesses in the nonferrous metal foundries industry that handle sensitive customer data and are at risk of data breaches and cyber attacks. It covers various costs and losses associated with cyber incidents. Some key benefits include covering notification expenses, legal costs, lost income, and restorating systems. Common uses involve data breach liability, fines and penalties, lawsuits, remediation costs, and business interruption from cyber attacks. Estimated annual pricing for companies in this industry ranges from $2,500 to $5,000.
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Based on the average size and estimated cyber risk profile of companies in the Other Nonferrous Metal Foundries (except Die-Casting) with NAICS Code 331529 Industry, the estimated average annual pricing for commercial cyber liability insurance would be $2,500-$5,000. This pricing range was derived from considering factors such as the typical number of employees, annual revenue, types of data handled, security maturity, past cyber incidents and claims for companies in this industry.
Estimated Pricing: $2,500-$5,000
Conclusion
In summary, businesses in the NAICS 331529 industry should strongly consider general liability, property, commercial auto, workers’ compensation, commercial umbrella, business income, commercial equipment breakdown, and commercial cyber liability insurance to manage risks inherent to foundry operations and safeguard the financial health of the company.