Gypsum Products Manufacturers Insurance Policy Information
Gypsum Products Manufacturers Insurance. Gypsum has been used for a variety of purposes, since the times of ancient empires like Egypt, Rome, and the Byzantine Empire.
Different forms of gypsum have been, and continue to be, used in art, construction, dentistry and medicine, and in agriculture. Gypsum can be mined or synthesized.
Gypsum manufacturers produce wallboard, ornamental molding, plaster, fertilizers, fireproofing materials, and setting material for cement, clay, or mortar. Gypsum is a soft sulfate mineral mined from deposits of evaporated ancient salt water.
Many operations own their own quarries or mines; others purchase gypsum from distributors or producers. Once the raw material is mined or quarried, it is crushed in a grinder, calcined, or baked, and ground to a final powder.
Wallboard is made by inserting the ground gypsum between two sheets of heavy paper.
China is the world's largest producer of gypsum, while Spain is the number one producer in Europe. The United States are the fourth largest producer of gypsum in the world, with 11,500 thousand metric tons of gypsum processed annually.
Just like other fields, this one faces numerous perils. How can manufacturers within the gypsum industry protect themselves?
Read on to find out what types of gypsum products manufacturers insurance are essential for companies that process gypsum.
Gypsum products manufacturers insurance protects your manufacturing business from lawsuits with rates as low as $57/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked gypsum products manufacturing insurance questions:
- What Is Gypsum Products Manufacturers Insurance?
- How Much Does Gypsum Products Manufacturers Insurance Cost?
- Why Do Gypsum Products Manufacturers Need Insurance?
- What Type Of Insurance Do Gypsum Products Manufacturers Need?
- What Does Gypsum Products Manufacturers Insurance Cover & Pay For?
What Is Gypsum Products Manufacturers Insurance?
Gypsum products manufacturers insurance is a type of insurance policy specifically designed for companies that manufacture and distribute gypsum products.
These products can include drywall, plaster, ceiling tiles, and other building materials. The insurance covers various risks such as property damage, liability, and business interruption. It helps to protect the manufacturer from financial losses due to unexpected events, accidents, or incidents that may occur during the manufacturing and distribution process.
This insurance is important for gypsum products manufacturers as it provides financial stability and peace of mind, allowing them to operate their business with confidence.
How Much Does Gypsum Products Manufacturers Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small gypsum products manufacturing businesses ranges from $57 to $79 per month based on location, size, revenue, claims history and more.
Why Do Gypsum Products Manufacturers Need Insurance?
Every commercial enterprise is vulnerable to a range of risks. Some risks are universal, while others are specific to a certain industry, because each type of industry is unique. Natural disasters such as earthquakes, floods, hurricanes, and lightning strikes are examples of risks that can affect every company. Vandalism and theft also pose a great threat to every business.
On the other hand, gypsum production comes with unique risks as well. Whether your company mines gypsum or produces it synthetically, the risk of work-related injury is significant.
Although calcium sulfate is not toxic, this powder can irritate the skin and mucous membranes. Should an employee suffer a costly occupational illness or injury, your company can be held liable.
If safety measures are adhered to and a company invests in security systems, it is possible to mitigate some risks. It is never possible to prepare for or prevent all accidents and perils, however.
When the worst happens, the financial consequences could be so devastating that you might not be able to recover. That is why it is very important to have a backup plan, in the form of comprehensive gypsum products manufacturers insurance coverage.
What Type Of Insurance Do Gypsum Products Manufacturers Need?
Gypsum production is hard work. Even though companies in this line of work share a lot of common risks, each business is unique. The location of your facility, the manner in which you produce gypsum, and your number of workers are just some variables that determine what types of perils you are most vulnerable to.
That is why there is no such thing as a universally suitable insurance plan for gypsum manufacturers. By discussing the factors that define your company with a skilled commercial insurance broker, you will better be able to evaluate which types of insurance are vital to your individual company.
Some of the most common types of gypsum products manufacturers insurance include:
- General Liability: This type of insurance prevents financial loss in the case of damage caused to third party property (such as the machines you rent, or the trucks you rent to deliver your product). It also shields your company in case of third party bodily injury liability. Your legal fees and any settlement costs are both covered.
- Commercial Property: This type of gypsum products manufacturers insurance can protect your company from the financial fallout of property damage or loss resulting from the forces of nature (such as wildfires, floods, storms, lightning strikes, earthquakes, etc), vandalism, or theft. Your physical building, manufacturing equipment, outdoor assets, and raw materials can all fall under such a policy.
- Product Liability: If, for any reason, you need to recall your product, this type of insurance can help cover the expenses, and potential lost revenue. Also, if your product causes bodily injury or property damage to a third party, this type of insurance will compensate the person affected.
- Workers Compensation: People working in gypsum manufacturing have a relatively high risk of work related injury than. This type of insurance will cover the expenses of medical bills, in the case of occupational injuries or illnesses. It further reimbursed the employee for any lost wages caused by said injuries.
Gypsum manufacturers work in a steady field of industry that is expected to continue growing - but even a single catastrophic event has the potential to force you into bankruptcy without the right insurance plan.
Because these types of gypsum products manufacturers insurance are merely examples of the business insurance you may need to carry, you are advised to consult a commercial insurance agent who understands your field of work to explore all available options.
Gypsum Products Manufacturing's Risks & Exposures
Premises liability exposures are a concern even though access by visitors is limited. If tours are given or outsiders are allowed on premises, visitors may be injured by slips, trips, or falls. Gypsum processing may generate a great deal of dust and noise that may affect neighbors, resulting in a high frequency of nuisance claims.
Gypsum dust may also cause serious health problems, especially respiratory problems.
Hazards increase if the location is not fenced and monitored while not in use, as the edge of a quarry is commonly a cliff, presenting a significant fall hazard. The piles of stone waiting to be crushed and the equipment in the open present an attractive nuisance to trespassers and children.
Products liability exposure is generally low unless the gypsum is imported or is not mixed to specifications, particularly if use is for fireproofing.
Environmental impairment exposure is high as dust, vapors and spillage of fuel tanks may contaminate air, land, surface or ground water, or soil. Disposal of wastes must adhere to all federal and state guidelines. There should be reclamation procedures in place to control the impact of any mining or quarrying operations.
Workers compensation exposure is high even if there is no quarry. Injuries from production machinery are common, as are minor cuts, burns, slips, trips, falls, foreign objects in the eye, back injuries from lifting, hearing loss from noise, and repetitive motion losses.
Workstations should be ergonomically designed. The manufacturing processes are usually automated, but workers can be injured during maintenance and fueling of machinery. Exposures to dust may cause skin and eye and respiratory irritations.
Property exposures consist of the office, plant, and warehouse for raw materials and finished goods. Ignition sources include electrical wiring, heating systems, and production machinery. Hazards come from the large amount of flammables on hand to run, lubricate, and maintain the machinery and equipment. The machinery is large and conveys heavy loads. Maintenance is critical to prevent overheating and other potential fire hazards.
Dust may be a concern since there is fire or explosion potential from sparks or high temperatures created by the process. Adequate dust control and cooling are needed. Poor housekeeping may be a serious fire hazard. Unless disposed of properly, greasy, oily rags (such as those used to clean the machinery) can cause a fire without a separate ignition source. If mining or quarrying is done, there may be blasting and the exposure for theft can be high.
Appropriate security controls must be taken including lighting and 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.
Equipment breakdown exposures include malfunctioning production equipment, dust collection and ventilation systems, electrical control panels and other apparatus. A lengthy breakdown to production machinery could result in a severe loss, both direct and under time element.
Crime exposures are chiefly from employee dishonesty. Background checks should be conducted on all employees. There must be a separation of duties between persons handling deposits and disbursements and handling bank statements. The manufacturer should have security methods in place to prevent theft, particularly if there are explosives on the premises.
Inland marine exposures include accounts receivable if the manufacturer offers credit, computers (which may include computer-run production equipment), contractors' equipment if mining or quarrying is done, goods in transit, and valuable papers and records for customers' and suppliers' information. The primary causes of loss are fire, theft, collision, overturn, and water damage.
Commercial auto exposure can be high if the manufacturer has a quarry, picks up raw materials, or delivers finished goods to customers. Delivery to jobsites may involve travel on uneven terrain and temporary roads, increasing the risks of upset and overturn. Manufacturers generally have private passenger fleets used by sales representatives.
There should be written procedures regarding the private use of these vehicles by others. Drivers should have an appropriate license and an acceptable MVR. All vehicles, especially tankers, must be well maintained with documentation kept in a central location.
What Does Gypsum Products Manufacturers Insurance Cover & Pay For?
Gypsum products manufacturers can be sued for various reasons, including but not limited to product liability, property damage, personal injury, breach of contract, and environmental damage. Insurance can protect these manufacturers by providing financial coverage to address legal costs, settlement expenses, and damages awarded in lawsuits. Here are some examples:
Product liability: If a gypsum product is found to be defective or causes harm to a customer or end-user, the manufacturer may be sued for product liability. Insurance policies like general liability or product liability insurance can help cover legal defense costs, settlements, and judgments related to such claims.
Property damage: During the manufacturing or transportation of gypsum products, accidents may cause damage to third-party property. In such cases, a commercial general liability (CGL) policy can help cover the costs of repairing or replacing the damaged property and any associated legal expenses.
Personal injury: If an individual is injured due to the negligence of the gypsum products manufacturer, the company may face a personal injury lawsuit. Workers' compensation insurance can cover the expenses for employee injuries, while a CGL policy can help with third-party injury claims, including legal defense costs and settlements.
Breach of contract: A manufacturer may be sued for failing to meet the terms of a contract, such as delivering products that do not meet agreed-upon specifications or not delivering products on time. Professional liability insurance, also known as errors and omissions (E&O) insurance, can help cover legal defense costs and damages awarded in breach of contract lawsuits.
Environmental damage: Gypsum products manufacturers may be held liable for pollution or contamination resulting from their operations. Environmental impairment liability (EIL) insurance can provide coverage for clean-up costs, legal defense expenses, and damages associated with such claims.
In each of these examples, insurance helps protect gypsum products manufacturers by covering the costs of legal defense, settlements, and damages awarded in lawsuits. This financial protection can be crucial in ensuring the ongoing viability of the business and protecting the company's assets.
Commercial Insurance And Business Industry Classification
- SIC CODE: 3275 Gypsum Products
- NAICS CODE: 327420 Gypsum Product Manufacturing
- Suggested Workers Compensation Code(s): 4036 Plasterboard or Plaster Block Manufacturing & Drivers
Description for 2261: Finishers Of Broadwoven Fabrics Of Cotton
Division D: Manufacturing | Major Group 32: Stone, Clay, Glass, And Concrete Products | Industry Group 327: Concrete, Gypsum, And Plaster Products
2261 Finishers Of Broadwoven Fabrics Of Cotton: Establishments primarily engaged in manufacturing plaster, plasterboard, and other products composed wholly or chiefly of gypsum, except articles of plaster of paris and papier-mache.
- Acoustical plaster, gypsum
- Agricultural gypsum
- Board, gypsum
- Building board, gypsum
- Cement, Keene's
- Gypsum products: e.g., block, board, plaster, lath, rock, tile
- Insulating plaster, gypsum
- Orthopedic plaster, gypsum
- Panels, plaster: gypsum
- Plaster and plasterboard, gypsum
- Plaster of paris
- Wallboard, gypsum
Gypsum Products Manufacturers Insurance - The Bottom Line
Gypsum products manufacturers insurance policies can be very different in coverages and premiums. You can learn if your manufacturing business has the best fit insurance policies by talking to an experienced commercial insurance broker.
Often they are able to save you on premiums and offer you better policy options than you currently have.
Additional Resources For Manufacturing Insurance
Learn all about manufacturing insurance. Manufacturers face many unique risks such as product libility and/or product recall exposures due to the nature of their business operations.
- 3D Printing
- Adhesives
- Alarms
- Audio & Video Equipment
- Auto Parts
- Bottling Plants
- Boxes
- Bricks
- Brooms & Brushes
- Buttons
- Cabinets
- Camping Equipment
- Canned Fruit & Vegetables
- Cans
- Canvas Products
- Caskets
- CBD Oil And Hemp
- Cement
- Ceramics
- Chemical
- Clock & Watch
- Clothing
- Coffee
- Commercial Air Conditioning
- Commercial Electronics
- Communications Equipment
- Computers
- Condoms
- Construction Equipment
- Cork Products
- Cosmetics
- Cutlery
- Dairies & Creameries
- Down And Feather Products
- Dry Ice
- Dyes & Pigments
- Electronic Toys & Games
- Electroplating
- Elevators
- Engines
- Exercise Equipment
- Farm Equipment
- Feed & Grain
- Fences
- Fertilizer
- Fireworks
- Flavoring Extracts
- Frozen Foods
- Fruit Juice
- Fur Garment
- Garage Door
- Gears
- Glass
- Glasswear
- Gypsum Products
- Hosiery
- Ice Cream
- Industrial Equipment
- Ink
- Insecticides
- Iron & Steel Foundries
- Jewelry
- Lawn Mowers
- Leather Apparel
- Leather Goods
- Lighting & Wiring
- Lumber & Wood Products
- Machine Shop
- Major Electrical Appliances
- Manufacturing
- Marijuana Products
- Mattresses & Box Springs
- Metal & Plastic Furniture
- Metal Heat Treating
- Metal Toys
- Millwork
- Monuments
- Musical Instruments
- Nanotechnology
- Nonferrous Foundries
- Ornamental Metalwork
- Paint
- Paper & Allied Products
- Pesticides
- Pet Food
- Pharmaceuticals
- Plastic & Rubber Toys
- Plastic Goods
- Plastics
- Plastics Molding, Forming & Extruding
- Pottery
- Product Liability
- Prosthetics
- Psychedelic Drugs
- Pulp & Paper Mills
- Refractory
- Residential Air Conditioning & Heating
- Rubber Goods
- Rugs
- Sawmills & Planing Mills
- Screw Machine Products
- Sheet Metal
- Soap & Detergent
- Shoes
- Small Electrical Appliances
- Sporting Goods
- Springs
- Stone Products
- Tanneries
- Textiles
- Textiles Finishing & Coating
- Tires
- Tobacco
- Tool & Die Shops
- Vegetable Juice
- Vending Machines
- Watercraft
- Wire
- Wire Rope
- Wood Furniture
- Woodworking
- Writing Instruments
- Yarn
- Specialty Manufacturing
- Specialty Product Liability
The manufacturing industry is a vital part of the economy and plays a significant role in the production of goods and services. However, it is also an industry that is prone to risks and accidents, which can result in costly damages and lawsuits. Therefore, it is essential for businesses in the manufacturing industry to have insurance to protect them against potential losses.
Business insurance can cover a wide range of risks, including property damage, liability, and worker injuries. For instance, if a fire were to break out in a manufacturing facility and destroy equipment or inventory, commercial insurance could cover the costs of replacing or repairing the damages. Similarly, if a worker were to be injured on the job, business insurance could cover medical expenses and lost wages.
In addition to protecting against physical damages, insurance can also provide financial protection against legal liabilities. If a customer were to sue a manufacturing business for a faulty product, the commercial insurance could cover the costs of legal fees and settlements.
Overall, insurance is essential for the manufacturing industry as it helps to mitigate risks and protect against unexpected costs. Without it, businesses in the industry could face financial ruin in the event of an accident or lawsuit.
Minimum recommended small business insurance coverage: Building, Business Personal Property, Business Income with Extra Expense, Equipment Breakdown, Employee Dishonesty, Accounts Receivable, Computers, Goods in Transit, Valuable Papers and Records, General Liability, Employee Benefits Liability, Environmental Impairment Liability, Umbrella Liability, Hired and Non-owned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Earthquake, Flood, Cyber Liability, Employment-related Practices Liability, Business Auto Liability and Physical Damage and Stop Gap Liability.
