Business owners in the food industry know there are a lot of things that can go wrong. Along with the typical concerns of any manufacturing process, your product itself is fragile and susceptible to all kinds of supply chain mishaps. If you own or manage a food manufacturing business, you probably already know how much can go wrong. Because of this, it’s important to protect your business with a comprehensive insurance policy.
What Risks Does Insurance Cover?
It’s to your benefit to identify areas in your supply chain where problems might arise and to do so before you have issues. Keeping ahead of disaster will not only mitigate your losses if the worst happens, but it can also help you pinpoint what matters most to you in an insurance plan. Food industry insurance policies might include any or all of the following:
- Spoilage and contamination liability
- Shipping and commercial vehicle coverage
- Recalls and product defects
- Worker’s compensation and benefits packages
- Errors in manufacturing or other quality assurance faults
- Liability at all management levels
- Breakdowns and equipment failures
Food manufacturing is an unpredictable business. If you haven’t taken the steps to quantify your risk in crucial areas, you could end up blindsided by unforeseen circumstances. The first step is to assess your risk — and keep in mind that risk can appear in diverse areas in this industry. Once you know what’s at stake, the next step is to protect your investments with a comprehensive insurance package.