Graphic Arts Insurance Policy Information
Graphic Arts Insurance. Whether you design websites, pamphlets, posters, marketing materials, signs, corporate logos, or any other type of digital or printed artwork, as a graphic artist, the services you provide are invaluable.
Graphic arts include various types of art forms used for design, advertising, or publishing purposes, including two-dimensional drawings, paintings, photography, and computer-generated images.
Graphic artists use their imaginations to develop the art, then may print using a computer or outsource the reproduction of more complicated imagery or processes such as monotyping or wood prints. Web design services may be offered. Delivery service may be offered to customers.
You've worked hard to get to where you are and have invested a lot in your business. Honing your craft, getting all necessary certifications, setting up your work space, marketing, landing clients, hiring employees, and making sure that the services you provide meet the needs of your clients; you have a lot on your plate and you want to ensure that you are as successful as possible.
When you're setting your graphic art business up, there's one thing that's vital to your success and that you don't want to overlook: graphic arts insurance coverage.
Why do you need to be insured? What type of coverage do you need to carry? Read on to find out why commercial insurance is so important and how you can ensure your business is protected.
Graphic arts insurance protects graphic artists from lawsuits with rates as low as $27/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked graphic artists insurance questions:
- What Is Graphic Arts Insurance?
- How Much Does Graphic Arts Insurance Cost?
- Why Do Graphic Arts Businesses Need Insurance?
- What Type Of Insurance Do Graphic Arts Businesses Need
- What Does Graphic Arts Insurance Cover & Pay For?
What Is Graphic Arts Insurance?
Graphic Arts Insurance is a type of insurance that provides coverage to graphic artists, designers, printers, and other individuals and companies in the graphic arts industry.
This insurance protects against a range of potential losses, such as liability claims for copyright infringement, errors and omissions, and damage to equipment, digital files, and materials. Graphic Arts Insurance can also provide coverage for expenses related to legal defense, property damage, and other costs associated with a lawsuit or claim.
How Much Does Graphic Arts Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small graphic arts businesses ranges from $27 to $49 per month based on location, size, payroll, sales and experience.
Why Do Graphic Arts Businesses Need Insurance?
Just like a business in other industries, as a graphic artist, you face numerous risks. Some of those risks are similar to the risks that all businesses face, and some are unique to your industry.
Examples of some of the risks that graphic arts businesses face include:
- A client could file a lawsuit against you claiming that you didn't deliver the results you promised
- A third-party could suffer an injury while on your commercial property
- An employee could sustain a work-related injury
- You may have to shut down your office for a prolonged period of time
- Your computer system could be compromised in a cyberattack
- Your office could be damaged by an act of nature, theft, or vandalism
These are just a few examples of the types of incidents that could arise, and as the owner and operator of your graphic arts business, you are liable for any unforeseen circumstances that come up. In other words, you will be required to pay for the related expenses, and as you can imagine, those expenses can be quite exorbitant.
That's why it's so important to have the right type of graphic arts insurance coverage.
If you're insured and something does go wrong, instead of having to pay for the related expenses out of your own pocket, your insurer will cover the related costs for you. If something does go wrong, as long as it's covered by your policy, you won't have to shell out the money, which means that you could save a substantial amount and potentially avoid financial ruin.
What Type Of Insurance Do Graphic Arts Businesses Need?
There are several types of graphic arts insurance coverage that graphic artists require, but the specific types of policies you'll need depend on the unique factors that pertain to your business; where your office is located, the specific type of graphic arts work you do and the clients you work with, as well as whether or not you employ a staff.
In order to make sure that you have the coverage you need, it's important that you consult with a reputable insurance agent. An experienced broker will be able to help you develop a robust plan that will offer you all of the coverage you need to properly protect your business.
Here's a look at some of the vital types of graphic arts insurance coverage that you'll want to have:
- Commercial Property: This coverage will protect your graphic arts business from acts of nature, theft, or vandalism that may impact your business, as it will pay for any repairs that need to be made or items that need to be replaced.
- Commercial General Liability: To protect yourself from third-party liability property damage and personal injury claims, you'll need this type of coverage. It will cover the cost of legal defense fees and settlements if someone files a lawsuit against you.
- Cyber Insurance: If your computer systems are hacked and your intellectual property or the property of a client is compromised, this coverage will help to pay for the related expenses.
These policies are just a few examples of the type of graphic arts insurance you'll need to carry as a graphics artist.
Graphic Arts' Risks & Exposures
Premises liability exposures are generally minimal as visitor access is limited to offices or conference rooms where the design may be discussed away from production areas. Slips and falls can be reduced through good housekeeping and maintenance. Aisles must be kept clear, and floor coverings must be in good condition.
Steps and uneven floor surfaces should be prominently marked. Sufficient exits must be provided and be well marked with backup lighting systems in case of power failure. Parking areas and sidewalks should be in good repair and kept clear of ice and snow.
There should be a disaster plan in place for unexpected emergencies. If some of the work is outsourced, certificates of insurance should be maintained to verify that adequate limits of liability are carried.
Environmental impairment exposure can be high if printing is conducted on premises due to waste disposal of the inks and solvents which can contaminate groundwater, soil, or air. Spill procedures must be in place to prevent the accidental discharge of inks through the drains. Contracts should be in place to dispose of all environmentally dangerous chemicals.
Professional liability exposure comes from errors and omissions which can range from blurry images or type to miskeying prices in an advertisement to missing a critical deadline. All copy, including changes, must be documented in writing and signed by the customer before the run begins.
If web sites are designed, the graphic artist is responsible for all content. Allegations of trademark or copyright infringement can result in substantial damages.
Workers compensation exposure may be limited to that of an office if design work is done on computers. Potential injuries include eyestrain, neck strain, carpal tunnel syndrome, and similar cumulative trauma injuries that can be addressed through ergonomically designed workstations.
The exposure increases if processes include the use of chemicals or machinery. Workers can be injured by electrical shocks, excessive heat, slips and falls, back sprains from lifting, cuts, dust inhalation, foreign objects in the eye, and hearing impairment from noise. Workers should be trained in material lifting and the proper use of conveying devices. Continual standing can result in musculoskeletal disorders of the back, legs, or feet.
Employees working with presses can be injured by fingers or hair being drawn into the machine or coming into contact with moving parts. Training is required for any employee operating machinery or forklifts. Guards on machinery must be maintained.
Safety equipment is a must. All employees must be informed of the possible effects of chemicals so that they can recognize early warning signs of problems.
Property exposures may be limited to office equipment such as computers and photocopies if the designer outsources more complicated printing operations. If printing or woodworking is done on premises, exposures will be high due to the combination of flammable liquids, primarily inks, dyes, lacquers, and solvents, wood dust, molds, the large quantities of combustible paper stock, the use of hot metals and molds, and numerous ignition sources from the printing machinery and equipment.
Electrical wiring must meet current codes and be adequate for the occupancy. Ongoing maintenance of equipment is critical as even a small fire can result in substantial damage. There should be automatic shutoffs to prevent overheating of the machinery. Fire or explosion can result from the accumulation of dust particles from paper. Smoke detectors and fire suppression devices are highly recommended.
Extension cords should not be used. Flammable liquids must be stored in a cool place away from heat sources with no more than one day's supply in the processing area. Finished items should be stored separately from raw materials and the processing area. Smoking should be prohibited.
To prevent theft, there should be appropriate security controls including physical barriers to prevent entrance to the premises after hours and an alarm system that reports directly to a central station or the police department.
Business interruption exposures can be high due to the length of time needed for repairs or replacement and the unavailability of backup resources.
Inland marine exposure is from accounts receivable if the studio offers credit, bailees for items belonging to customers, computers (which may include computer graphic design software), goods in transit if deliveries are made, and valuable papers and records for customers' and vendors' information.
Copies of all records should be stored off site to enable easy restoration. There may be a fine arts exposure from expensive or unique artwork.
Crime exposure is from employee dishonesty. Background checks, including criminal history, should be performed on all employees handling money. There must be a separation of duties between persons handling deposits and disbursements and reconciling bank statements. Physical inventories and audits should be conducted at least annually.
Business auto exposures are normally limited to hired and non-owned for employees running errands. If vehicles are provided to employees to take home, there must be a written policy regarding personal and permissive use.
All drivers and those family members who may use the vehicles must have appropriate licenses and acceptable MVRs which are checked regularly. Vehicles must be maintained on a regular basis with the records kept in a central location.
What Does Graphic Arts Insurance Cover & Pay For?
There are several reasons why graphic artists might face lawsuits, including:
- Intellectual property infringement: This can occur when a graphic artist uses copyrighted images, fonts, or other creative work without obtaining proper permission or licensing.
- Defamation: Graphic artists may be sued for creating designs or illustrations that defame or damage the reputation of an individual or organization.
- Breach of contract: Graphic artists may face lawsuits if they breach a contract with a client, such as not delivering work on time or not meeting agreed-upon specifications.
- Negligence: Graphic artists may be sued if they produce work that is of substandard quality or that contains errors that cause harm to a client or end-user.
To protect against these risks, graphic artists can obtain various types of insurance coverage, including:
General liability insurance: This type of insurance can help protect against lawsuits related to bodily injury, property damage, and advertising injury, such as defamation claims. If a graphic artist is sued for defamation, for example, their general liability insurance may help cover legal fees and damages awarded to the plaintiff.
Professional liability insurance: Also known as errors and omissions insurance, this coverage can protect against lawsuits related to professional negligence or failure to perform services as promised. If a graphic artist is sued for producing substandard work or missing deadlines, their professional liability insurance may help cover legal fees and damages awarded to the plaintiff.
Intellectual property insurance: This type of insurance can help protect against lawsuits related to intellectual property infringement. If a graphic artist is sued for using copyrighted images without permission, their intellectual property insurance may help cover legal fees and damages awarded to the plaintiff.
Cyber liability insurance: This coverage can help protect against lawsuits related to data breaches or other cyber incidents. If a graphic artist is sued for a data breach that exposes client information, their cyber liability insurance may help cover legal fees and damages awarded to the plaintiff.
In each of these examples, insurance can help a graphic artist pay for the costs associated with a lawsuit, including legal fees, settlements, and damages. Without insurance coverage, a lawsuit could be financially devastating for a graphic artist and their business.
Commercial Insurance And Business Industry Classification
- SIC CODE: 7336 Commercial Art and Graphic Design
- NAICS CODE: 541430 Graphic Design Services
- Suggested Workers Compensation Code(s): 8810 Clerical Office Employees NOC, 4299 Printing
Description for 7336: Commercial Art and Graphic Design
Division I: Services | Major Group 73: Business Services | Industry Group 733: Mailing, Reproduction, Commercial Art And Photography, and Stenographic Services
7336 Commercial Art and Graphic Design: Establishments primarily engaged in providing commercial art or graphic design services for advertising agencies, publishers, and other business and industrial users.
- Artists commercial
- Chart and graph design
- Commercial art and illustration
- Film strip and slide producers
- Graphic arts and related design
- Silk screen design
- Slide film producers
- Still film producers
Graphic Arts Insurance - The Bottom Line
To discover what kinds of graphic arts insurance coverage you'll need to fully protect your business, speak with a reputable broker who specializes in commercial insurance for graphic artists.
Additional Resources For Advertising, Marketing & Media Insurance
Learn about small business media liability insurance - a specialized form of professional liability insurance that provides protection for legal claims brought by third parties.
- Advertising Agency
- Book Publishers
- Call Center
- Direct Mailing Services
- Graphic Arts
- Graphic Designers
- Magazine Publishers
- Market Research Firm
- Marketing Consultant
- Podcast Insurance
- Printers & Publishers
- Public Relations
- Radio Stations
- Search Engine Services SEO
- Social Media Consultant
- Television Stations
The advertising and marketing industry is a fast-paced and constantly evolving field that involves creating and promoting products or services to consumers. This industry is constantly trying to stay ahead of trends and attract new customers, and as a result, it is prone to risks and uncertainties.
One of the biggest risks that the advertising and marketing industry faces is the potential for legal disputes. For example, a company may be sued for false advertising, copyright infringement, or for using someone else's intellectual property without permission. These types of legal disputes can be costly and time-consuming, and they can damage a company's reputation.
Business insurance is an important tool for protecting businesses in the advertising and marketing industry from these types of risks. Insurance can provide financial protection in the event of a legal dispute, which can help a business to avoid financial ruin. Additionally, insurance can help to protect a business's reputation by helping to manage the cost and impact of any negative publicity.
In addition to legal risks, the advertising and marketing industry is also at risk of financial losses due to errors and omissions. For example, a marketing campaign may not be successful, or a company may make a mistake in the production or distribution of a product. These types of errors and omissions can be costly, and insurance can help to protect a business from these types of losses.
Overall, insurance is an important tool for protecting businesses in the advertising and marketing industry from the various risks that they face. It can provide financial protection in the event of legal disputes or financial losses, and it can help to protect a company's reputation and financial stability.
Minimum recommended small business insurance coverage: Building, Business Personal Property, Business Income with Extra Expense, Employee Dishonesty, Money and Securities, Accounts Receivable, Bailees' Customers, Computers, Valuable Papers and Records, General Liability, Employee Benefits Liability, Professional and Advertising Liability, Umbrella Liability, Hired and Non-owned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Earthquake, Equipment Breakdown, Flood, Computer Fraud, Forgery, Special Floater, Cyber Liability, Employment-related Practices Liability, Business Automobile Liability and Physical Damage, Foreign Automobile Liability and Physical Damage, Foreign Workers Compensation, Repatriation Expense and Stop Gap Liability.