Insecticides Manufacturers Insurance Policy Information
Insecticides Manufacturers Insurance. Insecticides, chemicals used to kill insects, are used in a number of industries - primarily agriculture, also but in medicine, the leather industry and in residential homes.
Insecticide manufacturers produce synthetic or biological compounds that control, repel, or kill insects that harm crops. Synthetic insecticide manufacturing involves formulating and mixing chemicals to create a substance toxic to certain types of insects.
Processes are generally automated and may include crushing, filtering, washing, heating, freezing, aerating, mixing, or pressurizing. Biological insecticides are common bacteria toxic to specific insects. These are less hazardous to the environment and non-targeted species than synthetic insecticides. They are grown in large vats or containers and are usually sold in an inert powder-like state.
Much of the global industry depends on crops, rawhide, and other substances that insects can feed on and ruin, and with the growing demand for those products, insecticides are being used more than ever to prevent massive damage and potential financial loss.
Insecticides can be classified in several ways; if they have residual, or long term activity, they're called systemic insecticides. If, on the other hand, they don't have long term activity, they're called contact insecticides.
Insecticides can be classified by their mode of action, as well. Insecticides can be repellent or non-repellent (primarily used against social insects).
The production of fertilizers thrives in the US, and the whole industry generates $15 billion annually. More than 11 thousand people are employed by over 200 companies producing these chemicals.
The manufacture of pesticides is a profitable business, but, as with all businesses, this field carries certain risks as well. Luckily, there are ways to protect your business.
To find out what kind of insecticides manufacturers insurance coverage manufacturers in this industry need to nurture their business interests, read more below.
Insecticides manufacturers insurance protects your manufacturing business from lawsuits with rates as low as $97/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked insecticides manufacturing insurance questions:
- How Much Does Insecticides Manufacturers Insurance Cost?
- Why Do Insecticides Manufacturers Need Insurance?
- What Type Of Insurance Do Insecticides Manufacturers Need?
How Much Does Insecticides Manufacturers Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small insecticides manufacturing businesses ranges from $97 to $139 per month based on location, size, revenue, claims history and more.
Why Do Insecticides Manufacturers Need Insurance?
Insecticides manufacturers need insurance, just like any other other manufacturing company, because even the most well-run business faces a set of serious threats that could cause severe financial set-backs.
Good insecticides manufacturers insurance coverage offers a safety net against risks that could otherwise render your company bankrupt. Some of those risks will be common to all companies, while some are specific to the manufacturing of insecticides.
Acts of nature - natural disasters - come in so many different forms that they can strike your facility no matter where it is based.
Theft and acts of vandalism, which can interrupt your production line by damaging or destroying your valuable equipment, threaten any company. Insecticides manufacturers will further risk the breakdown of essential equipment, workplace injuries among their employees, and the possibility that a third party is injured within their facility or as a result of their activities.
Should disaster strike a building constructed partially using your insecticides, there is even the risk that someone will attempt to hold you responsible and file a lawsuit.
Any of these perils can have devastating consequences - but with the right insurance coverage, insecticides manufacturers can avoid these financial blows.
What Type Of Insurance Do Insecticides Manufacturers Need?
The type of product they manufacture is the one thing all pesticide producers have in common. Other than that, each business is unique, and each company has specific needs that depend on a number of factors.
Aspects that need to be taken into consideration, when choosing the right type of insurance for your business, include the number of employees, the amount of insecticides you produce, as well as the types of pesticide, your geographical location, terrain, and climate, to name a few.
There is no universal insurance formula that covers all the needs of all insecticide manufacturers. That is why the best option would be for you to talk to a commercial insurance broker. The types of insecticides manufacturers insurance needed include:
- Workers Compensation: Insecticides are hazardous materials, and working with them can potentially cause health problems in your employees, if they touch or inhale them. This type of insurance covers the medical expenses of employees who sustain workplace injuries or develop long-term health conditions as a result of their work, as well as lost income. It also protects your business from potential lawsuits.
- General Liability: This is the type of insecticides manufacturers insurance that defends you from lawsuits in the case of third party bodily injury liability. It also protects you from any potential damage your company accidentally causes to third party properties. This includes the machines you rent.
- Product Liability: Another, more specialized, type of liability insurance, product liability insurance protects your company in the event the use of, or exposure to, your insecticide products leads to third party bodily harm, or potentially environmental damage. It can also compensate for lost revenue in case you are forced to recall a product.
- Commercial Property: This type of insurance protects your property. That means that you're covered if something happens to your machines, documents, computers, or furniture. You can also be compensated if the damage is caused by floods, fire, lightning strikes, earthquakes, wind, and other acts of fire, though coverage will vary. Other than natural disasters, damage can be caused by theft or vandalism. And this type of insurance covers that type of harm as well.
For the production of insecticides, you'll need machines, space, people, knowledge, and chemicals. But, as your product protects crops from potential harm caused by insects, insecticides manufacturers insurance protects your business from any potential harm.
That is why making an comprehensive insurance plan is one of the first things to do if you're planning on starting a business in this line.
Insecticides Manufacturing's Risks & Exposures
Property exposures arise from an office, plant, and warehouse or yard for storage of raw materials and finished goods. Ignition sources include electrical wiring, heating systems, production machinery, along with large concentrations of flammable solvents, toxins, and other reactive (flammable, corrosive, or explosive) chemicals.
Hazards increase without proper controls, which should include separation during storage or processing and proper ventilation to control, fumes, dust, and vapors. Storage areas should be kept cool to prevent explosions. 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.
Some ingredients may be spoiled by temperature change, humidity, dust or other changes. Some synthetic insecticide manufacturers could be targeted by protestors or activists. Appropriate security controls should be taken 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.
Equipment breakdown exposures include malfunctioning production equipment, ventilation 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, either product theft or fraudulent bookkeeping/ordering. When insecticides are subject to strict government control, the underground market value becomes inflated which can encourage employee theft. 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.
Inland marine exposures arise from accounts receivable if the manufacturer offers credit, computers (which may include computer-run production equipment), goods in transit, and valuable papers and records for customers' and suppliers' information. Insecticide manufacturers typically have laboratories with significant scheduled EDP equipment for research and quality control. The main causes of loss are fire, theft, and loss by spill or contamination, especially during a collision.
Premises liability exposure is very high due to the potential release or spill of synthetic insecticide or its ingredients, either on premises or off. Since the chemicals used in processing are intended to be toxic, and may be reactive (flammable, corrosive or explosive, the chance of serious health damage is high.
The fire department and local environmental agencies must be aware of chemicals in use so that appropriate action to control fire or vapor release can be taken quickly. There should be an evacuation plan on file. Biological insecticides have fewer risks associated with them. If the manufacturer conducts tours, visitors may be injured by slips, trips, or falls.
Products liability exposure is very high due to the catastrophic potential for bodily injuries or property damage from poor quality control, improper storage, transport or inappropriate packaging and labeling. Costly claims may result from bodily injury to the employees of others who apply the insecticides, and from property damage to crops if the mix is wrong for its intended use.
Additional exposure comes from the leeching effect as the plants and grains enter into the food chain and the unintended impact on non-targeted wildlife or insects such as bees. It may be impossible to defend against questionable claims unless there is an aggressive quality control program including high standards for materials, testing and monitoring of components, and documentation of sources, often down to the individual batch. All products must adhere to federal specifications.
Environmental impairment exposures are very high as every phase of the operations may trigger a pollution event: storage, transportation, application, cleanup, disposal (including disposal of empty containers). The toxic effect may be cumulative or immediate. It may affect growing crops, water, air, or soil. Disposal of wastes must adhere to all federal and state guidelines.
Workers compensation exposure is very high due to work with chemicals and insecticides. Ingredients may be toxic or caustic, with a high potential for injury to eyes, lungs, or skin. Injuries from production equipment are common, as are back injuries from heavy lifting, burns, cuts, slips, trips, falls, hearing loss from noise, and repetitive motion injuries. Workstations should be ergonomically designed.
Employees should be provided with safety training and protective equipment. Workers must be fully aware of the side effects and symptoms of medical conditions associated with the chemicals they work with, including long-term occupational disease hazards. Regular physicals to monitor workers' health may be advisable.
Commercial auto exposure is very high if the manufacturer owns its tanker trucks and does its own transport. Drivers may need a hazardous material ("hazmat") license for some of the chemicals transported. Hazards increase if the insured lacks spill control procedures and equipment.
Drivers should have an appropriate license and an acceptable MVR. All vehicles must be well maintained, particularly tankers, with documentation kept in a central location.
Manufacturers generally have private passenger fleets used by sales representatives. There should be written procedures regarding the private use of these vehicles by others.
Commercial Insurance And Business Industry Classification
- SIC CODE: 2879 Pesticides And Agricultural Chemicals, Not Elsewhere Classified
- NAICS CODE: 325320 Pesticide and Other Agricultural Chemical Manufacturing
- Suggested ISO General Liability Code(s): 51850 Chemical Manufacturing - Commercial or Industrial, 51853 Chemical Manufacturing - Commercial or Industrial - Primarily Toxic or Presenting A Health Hazard, 51854 Chemical Manufacturing - Household - Toxic and Either Flammable, Explosive or Reactive, 51857 Chemical Manufacturing - Household - Primarily Toxic or Presenting A Health Hazard
- Suggested Workers Compensation Code(s): 4828 Chemical Blending or Mixing NOC - All Operations & Drivers, 4829 Chemical Manufacturing NOC - All Operations & Drivers - Includes Blending or Mixing
2879: Pesticides And Agricultural Chemicals, Not Elsewhere Classified
Division D: Manufacturing | Major Group 28: Chemicals And Allied Products | Industry Group 287: Agricultural Chemicals
2879 Pesticides And Agricultural Chemicals, Not Elsewhere Classified: Establishments primarily engaged in the formulation and preparation of ready-to-use agricultural and household pest control chemicals, including insecticides, fungicides, and herbicides, from technical chemicals or concentrates; and the production of concentrates which require further processing before use as agricultural pesticides. This industry also includes establishments primarily engaged in manufacturing or formulating agricultural chemicals, not elsewhere classified, such as minor or trace elements and soil conditioners. Establishments primarily engaged in manufacturing basic or technical agricultural pest control chemicals are classified in Industry Group 281 if the chemicals are inorganic and in Industry Group 286 if they are organic. Establishments primarily engaged in manufacturing agricultural lime products are classified in Major Group 32.
- Agricultural disinfectants
- Agricultural pesticides
- Arsenates: calcium, copper, and lead-formulated
- Arsenites, formulated
- Bordeaux mixture
- Calcium arsenate and arsenite, formulated
- Cattle dips
- Copper arsenate, formulated
- Elements, minor or trace (agricultural chemicals)
- Exterminating products, for household and industrial use
- Fly sprays
- Growth regulants, agricultural
- Household insecticides
- Insect powder, household
- Insecticides, agricultural
- Lead arsenate, formulated
- Lime-sulfur, dry and solution
- Lindane, formulated
- Moth repellants
- Nicotine and salts
- Nicotine bearing insecticides
- Paris green (insecticide)
- Pesticides, household
- Plant hormones
- Poison: ant, rat, roach, and rodent-household
- Pyrethrin bearing preparations
- Pyrethrin concentrates
- Rotenone bearing preparations
- Rotenone concentrates
- Sheep dips, chemical
- Sodium arsenite (formulated)pp(Soil conditioners
- Sulfur dust (insecticide)
- Thiocyanates, organic (formulated)
- Trace elements (agricultural chemicals)
- Xanthone (formulated)
Insecticides Manufacturers Insurance - The Bottom Line
Not every insecticides manufacturers insurance policy does not have the same coverage, cost and exclusions. To discover if your insecticides manufacturing firm has the best fit insurance policies - talk to an experienced business insurance broker.
Often they are able to save you on premiums and offer you better policy options than you currently have.
Types Of Small Business Insurance - Requirements & Regulations
Perhaps you have the next great idea for a product or service that you know will appeal to your local area. If you've got a business, you've got risks. Unexpected events and lawsuits can wipe out a business quickly, wasting all the time and money you've invested.
Operating a business is challenging enough without having to worry about suffering a significant financial loss due to unforeseen and unplanned circumstances. Small business insurance can protect your company from some of the more common losses experienced by business owners, such as property damage, business interruption, theft, liability, and employee injury.
Purchasing the appropriate commercial insurance coverage can make the difference between going out of business after a loss or recovering with minimal business interruption and financial impairment to your company's operations.
Insurance is so important to proper business function that both federal governments and state governments require companies to carry certain types. Thus, being properly insured also helps you protect your company by protecting it from government fines and penalties.
Small Business Insurance Information
In the business world, there are many risks faced by company's every day. The best way that business owners can protect themselves from these perils is by carrying the right insurance coverage.
The The National Association of Insurance Commissioners (NAIC) is the U.S. standard-setting and regulatory support organization. Through the NAIC, state insurance regulators establish standards and best practices, conduct peer review, and coordinate their regulatory oversight.
Commercial insurance is particularly important for small business owners, as they stand to lose a lot more. Should a situation arise - a lawsuit, property damage, theft, etc. - small business owners could end up facing serious financial turmoil.
According to the SBA, having the right insurance plan in place can help you avoid major pitfalls. Your business insurance should offer coverage for all of your assets. It should also include liability and casual coverage.
Types Of Small Business Insurance
Choosing the right type of coverage is absolutely vital. You've got plenty of options. Some you'll need. Some you won't. You should know what's available. Once you look over your options you'll need to conduct a thorough risk assessment. As you evaluate each type of insurance, ask yourself:
- What type of business am I running?
- What are common risks associated with this industry?
- Does this type of insurance cover a situation that could feasibly arise during the normal course of doing business?
- Does my state require me to carry this type of insurance?
- Does my lender or do any of my investors require me to carry this type of policy?
A licensed insurance agent or broker in your state can help you determine what kinds of coverages are prudent for your business types. If you find one licensed to sell multiple policies from multiple companies (independent agents) that person can often help you get the best insurance rates, too. Following is some information on some of the most common small business insurance policies:
|Business Insurance Policy Type||What Is Covered?|
|General Liability Insurance||What is covered under commercial general liability insurance? It steps in to pay claims when you lose a lawsuit with an injured customer, employee, or vendor. The injury could be physical, or it could be a financial loss based on advertising practices.|
|Workers Compensation Insurance||What is covered under workers compensation insurance? This type of insurance protects a business and its owner(s) from claims by employees who suffer a work-related injury, illness or disease. Workers comp typically provides the injured employee with benefits to cover medical expenses, a portion of his/her lost wages, rehabilitation costs if applicable, and permanent partial or permanent total disability.|
|Product Liability Insurance||What is covered under product liability insurance? I pays an injured party's settlement or lawsuit claim arising from a defective product. These are usually caused by design defects, manufacturing defects, or a failure to provide adequate warning or instructions as to how to safely use the product.|
|Commercial Property Insurance||What is covered under business property insurance? General liability policies don't cover damages to your business property. That's what commercial property insurance is for. It protects all of the physical parts of your business: your building, your inventory, and your equipment, giving you the funds you need to replace them in the event of a disaster. If you work from home, you might consider a Home Based Business Insurance policy instead.|
|Business Owners Policy (BOP)||What is covered under a business owners policy (BOP)? This is a policy designed for small, low-risk businesses. It simplifies the basic insurance purchase process by combining general liability policies with business income and commercial property insurance.|
|Commercial Auto Insurance||What is covered under business auto insurance? This type of insurance covers automobiles being used for business purposes. This could include a fleet of business-only vehicles or a single company car. In some cases it might cover your car or your employee's car while they're being used for business. These policies have much higher limits, ensuring you can cover your costs if one of these vehicles gets into an accident.|
|Commercial Umbrella Policies||What is covered under commercial umbrella insurance? This type of policy is a sort of "gap" insurance. It covers your liability in the event that a court verdict or settlement exceeds your general liability policy limits.|
|Liquor Liability Insurance||What is covered under liquor liability insurance? It covers bodily injury or property damage caused by an intoxicated person who was served liquor by the policy holder.|
|Professional Liability (Errors & Omissions)||What is covered under professional liability insurance? This type of business insurance is also known as malpractice oe E&O. It covers the damages that can arise from major mistakes, especially in high-stakes professions where mistakes can be devastating.|
|Surety Bond||What is covered under surety bonds? Bonding is a contract where one party, the SURETY (who assures the obligee that the principal can perform the task), guarantees the performance of certain obligations of a second party, the PRINCIPAL (the contractor or business who will perform the contractual obligation), to a third party, the OBLIGEE (the project owner who is the recipient of an obligation).|
Who Needs General Liability Insurance? - Virtually every business. A single lawsuit or settlement could bankrupt your business five times over. You might also need this policy to win business. Many companies and government agencies won't do business with your company until you can produce proof that you've obtained one of these policies.
Business Insurance Required by Law
If you have any employees most states will require you to carry worker's compensation and unemployment insurance. Some states require you to insure yourself even if you are the only employee working in the business.
Your insurance agent can help you check applicable state laws so you can bring your business into compliance.
Other Types Of Small Business Insurance
There are dozens of other, more specialized forms of small business insurance capable of covering specific problems and risks. These forms of insurance include:
- Business Interruption Insurance
- Commercial Flood Insurance
- Contractor's Insurance
- Cyber Liability
- Data Breach
- Directors and Officers
- Employment Practices Liability
- Environmental or Pollution Liability
- Management Liability
- Sexual Misconduct Liability
Whether you need any or all of these policies will depend on the results of your risk assessment. For example, you probably don't need an environmental or pollution policy if you're running an IT company out of a leased office, but you would need data breach and cyber liability policies to fully protect your business.
Also learn about small business insurance requirements for general liability, business property, commercial auto & workers compensation including small business commercial insurance costs. Call us (855) 767-7828.
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
- Audio & Video Equipment
- Auto Parts
- Bottling Plants
- Brooms & Brushes
- Camping Equipment
- Canned Fruit & Vegetables
- Canvas Products
- CBD Oil And Hemp
- Clock & Watch
- Commercial Air Conditioning
- Commercial Electronics
- Communications Equipment
- Construction Equipment
- Cork Products
- Dairies & Creameries
- Down And Feather Products
- Dry Ice
- Dyes & Pigments
- Electronic Toys & Games
- Exercise Equipment
- Farm Equipment
- Feed & Grain
- Flavoring Extracts
- Frozen Foods
- Fruit Juice
- Fur Garment
- Garage Door
- Gypsum Products
- Ice Cream
- Iron & Steel Foundries
- Lawn Mowers
- Leather Apparel
- Lighting & Wiring
- Lumber & Wood Products
- Machine Shop
- Major Electrical Appliances
- Marijuana Products
- Mattresses & Box Springs
- Metal & Plastic Furniture
- Metal Heat Treating
- Metal Toys
- Musical Instruments
- Nonferrous Foundries
- Ornamental Metalwork
- Paper & Allied Products
- Pet Food
- Plastic & Rubber Toys
- Plastic Goods
- Plastics Molding, Forming & Extruding
- Product Liability
- Psychedelic Drugs
- Pulp & Paper Mills
- Residential Air Conditioning & Heating
- Rubber Goods
- Sawmills & Planing Mills
- Screw Machine Products
- Sheet Metal
- Soap & Detergent
- Small Electrical Appliances
- Sporting Goods
- Stone Products
- Textiles Finishing & Coating
- Tool & Die Shops
- Vending Machines
- Vegetable Juice
- Wire Rope
- Wood Furniture
- Writing Instruments
For manufacturers, having the proper coverage is very important. You will need Products/Completed Operations Liability Coverage to protect you against injuries or property damage cause my the products you make or sell.
Manufacturing is an extremely broad category that includes countless potential hazards and exposures in virtually all coverage areas. Because of this, every individual manufacturer is unique and a specific risk survey of every operation is advisable.
The basic insurance needs for every class of business or operation includes property coverage for buildings, machinery and equipment, as well as for raw stock and finished products.
Liability insurance for premises exposures is important but products liability insurance presents greater concerns so these exposures and coverage needs must be evaluated carefully.
In addition, protection for injuries to workers, environmental coverages and automobile insurance are priority items.
What does the insured does that could result in a covered loss? The insuring agreement only requires that the insured be legally obligated to pay damages for injury to others or damage to their property included within the products-completed operations hazard covered by the insurance.
Because of this, every product manufactured and completed operation exposure for each named insured must be determined, described and evaluated to be certain that each represents acceptable exposures, or are acceptable classes of business to the insurance company providing coverage.
Once the extent of all business activities and operations is determined, the process of identifying hazards begins. The first step in the process is completely listing and describing all current products being manufactured and projects being worked on.
The next step is obtaining the same information for discontinued products and completed projects for the past five to 10 years, depending on the products or projects involved. This should include an explanation of why the products were discontinued. If some completed projects were of a different type than those currently being worked on, an explanation is in order, including whether the insured may resume them in the future.
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.