As an auto parts manufacturer, you play a critical role in the automotive industry. Your customers rely on you to produce high-quality parts that are safe and reliable, allowing them to drive their vehicles without any issues for a long time.
However, accidents can happen, and mistakes can be made. That’s why it’s essential to have auto parts manufacturers insurance to protect your business and your customers.
Who Needs Auto Parts Manufacturers Insurance?
If you own an auto parts manufacturing business, you need auto parts manufacturers insurance. It doesn’t matter if you’re a large manufacturer producing parts for multiple automakers or a small one specializing in niche parts – you need to be protected against possibly all the potential risks and claims.
Types of Insurance Needed by Auto Parts Manufacturers
There are several types of insurance that auto parts manufacturers should consider:
1. Product Liability Insurance – This covers your business against claims of bodily injury or property damage that may occur due to a defective or faulty product. For example, if one of your parts fails and causes an accident, this coverage will protect you from any associated costs.
2. General Liability Insurance – This covers your business against claims of bodily injury or property damage that may occur during the course of your work. For example, if someone slips and falls at your manufacturing facility, this coverage will protect you from any associated costs.
3. Property Insurance – This covers your factory and equipment against damage or loss due to fire, theft, or other dangers.
4. Business Interruption Insurance – This covers your business against losses due to business interruptions caused by unforeseen events such as natural disasters, power outages, or other disruptions.
How Much Does Auto Parts Manufacturers Insurance Cost?
The cost of auto parts manufacturers insurance varies depending on several factors, such as the size of your business, the types of products you manufacture, and the number of employees you hire.
Our competent insurance agents can calculate the exact prices of the policies best suited to your needs, so you don’t have to browse various offers and compare them on your own.
Auto Parts Manufacturing Risks & Exposures
Auto parts manufacturers face a variety of risks and exposures, such as:
- Product defects – Defective parts can cause accidents and injuries, leading to costly legal claims and lawsuits.
- Property damage – Your manufacturing facility and equipment may be damaged due to natural disasters, accidents, or other events.
- Business interruption – Events like natural disasters or power outages may cause you to shut down temporarily, leading to lost income.
- Workers’ compensation claims – Your employees may be injured on the job due to the physical demands of manufacturing.
Commercial Insurance And Business Industry Classification
- SIC CODE: 3714 Motor Vehicle Parts And Accessories, 3592 Carburetors, Pistons, Piston Rings, And Valves, 3647 Vehicular Lighting Equipment, 3694 Electrical Equipment For Internal Combustion Engines, 3465 Automotive Stampings, 3585 Air-Conditioning and Warm Air Heating Equipment and Commercial And Industrial Refrigeration Equipment
- NAICS CODE: 336310 Motor Vehicle Gasoline Engine and Engine Parts Manufacturing, 336320 Motor Vehicle Electrical and Electronic Equipment Manufacturing, 336330 Motor Vehicle Steering and Suspension Components (except Spring) Manufacturing, 336340 Motor Vehicle Brake System Manufacturing, 336350 Motor Vehicle Transmission and Power Train Parts Manufacturing, 336360 Motor Vehicle Seating and Interior Trim Manufacturing, 336370 Motor Vehicle Metal Stamping, 336390 Other Motor Vehicle Parts Manufacturing
- Suggested Workers Compensation Code(s): 2288 Felting Manufacturing, 2501 Umbrella Manufacturing, 3146 Hardware Manufacturing NOC, 3179 Electrical Apparatus Manufacturing NOC, 3303 Spring Manufacturing, 3400 Metal Stamped Goods Manufacturing NOC, 3632 Machine Shop NOC, 3803 Automobile – Wheel Manufacturing – Metal – Not Cast, 3807 Automobile – Radiator Manufacturing, 3822 Automobile, Bus, Truck or Trailer Body Manufacturing – Die Pressed Steel, 3824 Automobile, Bus, Truck or Trailer Body Manufacturing NOC, 3827 Automobile – Engine Manufacturing, 4111 Glassware Manufacturing – No Automatic Blowing Machines
Auto Parts Manufacturers Insurance – The Bottom Line
Auto parts manufacturers insurance is essential for protecting your business and your customers. It provides financial protection against potential risks and claims, which can be costly and time-consuming to deal with. By investing in the right insurance coverage, you can focus on producing high-quality parts and providing excellent service to your customers.
To find the best offers for your auto parts manufacturing needs, contact our knowledgeable and experienced agents, who will compare offers from various providers and help you select the best deal. We’re sure you won’t be disappointed!