Lawn Mower Manufacturers Insurance Policy Information
Lawn Mower Manufacturers Insurance. Lawn mowers - machines used to cut grass to a predetermined length - exist in many different types. They may have a single rotating blade or multiple, and are each powered by a motor.
Beyond these basic common features, lawn mowers may be powered by gasoline, electricity or manual labor, they may be riding mowers or mowers attached to a tractor, and even robotic lawn mowers have now entered the market.
From residential homes to landscaping companies and agricultural businesses, numerous different types of consumers require lawn mowers. The companies manufacturing diverse types of lawn mowers can rest assured that there will always be a demand for their product.
By the same token, they must also be aware that unforeseen circumstances can pose a serious threat to their financial health at any time. This is why it is crucial to learn what types of lawn mower manufacturers insurance can best protect a company in this industry.
Lawn mower 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 lawn mower manufacturing insurance questions:
- How Much Does Lawn Mower Manufacturers Insurance Cost?
- Why Do Lawn Mower Manufacturers Need Insurance?
- What Type Of Insurance Do Lawn Mower Manufacturers Need?
How Much Does Lawn Mower Manufacturers Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small lawn mower manufacturing businesses ranges from $57 to $79 per month based on location, size, revenue, claims history and more.
Why Do Lawn Mower Manufacturers Need Insurance?
Each business owners knows that uncertainty is an integral feature of running a successful business. Just like you may have unexpected gains and successes, companies that make lawn mowers are vulnerable to a spectrum of threats that could lead to serious financial damage.
Both risks common to all commercial ventures and those more specific to your own field have to be taken into account.
Acts of nature - wildfires, floods, storms, lightning strikes, and hurricanes, for example - may be the best example of a threat that is almost impossible to prevent. Theft and vandalism, too, pose a risk to any company.
Companies that make lawn mowers rely on valuable manufacturing equipment that may break down at any time, after which they incur repair or replacement costs as well as potentially being forced to interrupt their production.
The risk that an employee becomes injured at work, holding your company liable in the process, is also always present. Third parties, too, could suffer accidents on your premises.
The possibility that a user of your lawn mowers could become injured and subsequently allege that a manufacturing error on your part, or even faulty instructions, played a role in this injury, is another serious risk faced by lawn mower manufacturers.
Not all these hazards can be prevented, and none can be avoided after the fact. Lawn mower manufacturers insurance is disaster protection that continues to serve you even after unforeseen circumstances have threatened your business.
What Type Of Insurance Do Lawn Mower Manufacturers Need?
An individual company's insurance needs depend on a multitude of variables - the kinds of lawn mowers they make, the manufacturing equipment they use, the location of their manufacturing facility, and their number of employees are merely examples.
To design a customized insurance plan that will act as a powerful shield, partner with a skilled commercial insurance broker. Having said that, the lawn mower manufacturers insurance policies needed include:
- Commercial Property: Should an act of nature, theft, or act of vandalism hit your business, your building as well as the contents inside may be destroyed, damaged, or lost, and you may be forced to temporarily interrupt production. This essential type of insurance helps cover the resulting costs.
- General Liability: This type of lawn mower manufacturers insurance is designed to protect you against another common threat - lawsuits. Should a third party be injured on your premises, this kind of insurance covers the resulting legal and settlement fees. In the case an employee causes damage to third party property, commercial general liability insurance also protects you from the fallout.
- Product Liability: Invaluable for any manufacturer whose product could potentially cause property damage or physical injury to consumers or other third parties, companies that make lawn mowers will want to arm themselves with product liability coverage as well. Again, it covers your attorney fees as well as any settlement costs in these cases.
- Workers Compensation: Employees can sustain a multitude of different workplace injuries or illnesses. Should one of your employees require medical attention or find themselves unable to return to work after an occupational injury, the costs are covered by workers' comp.
Keep in mind that these important types of lawn mower manufacturers insurance are not the only ones available to firms in this industry.
A commercial insurance specialist can help you cover all your bases.
Lawn Mower Manufacturing's Risks & Exposures]
Premises liability exposure is normally low due to limited access by visitors. If tours are given or if outsiders are allowed on premises, visitors may be injured by slips, trips, or falls. If stock is stored in the open, it becomes attractive to trespassers, particularly children.
Fumes, dust, and noise from processing operations may affect neighbors, resulting in nuisance claims. Off-premises liability exposures come from exhibitions or demonstrations at retail locations, fairs, or exhibitions.
Products liability exposure is significant due to rotating blades and sharp cutting surfaces. Customers may be seriously injured due to poor workmanship, faulty design, product malfunction or improper use.
Warning labels regarding dangers of personal injury are important, but provide only limited defense as courts commonly apply strict liability standards to inherently dangerous consumer products.
Sharp-edged parts could break off and cause severe injuries. Malfunction in the wiring could present a fire or an electrocution hazard. Rupture of fuel lines or tanks could result in an explosion. Lawn mowers and other garden equipment tend to have a longer life span than other types of motorized equipment.
Older equipment made before improved safety features were introduced may still be in use, extending the period for product liability claims to be made.
Environmental impairment exposure can range from moderate to high due to the potential for air, land and water pollution from dust and fuel storage tanks. Raw plastics may be toxic and flammable, the catalysts may be caustic, and the final product is usually not biodegradable.
Metal contaminants may come from the chemicals, paints, and solvents used. Vapors, fumes and air pollutants, wastewater and disposal of by-products must be evaluated and controlled. Disposal of plastics, chemicals and flammable liquids must adhere to all EPA and other regulatory standards.
If the insured manufactures gas or kerosene-powered lawnmowers, fuel tanks will be on premises with the potential for spillage and contamination. If there are underground tanks, a UST policy may be required.
Workers compensation exposures can be extremely high. Injuries from production machinery are common, as are 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.
Employees should be provided with safety training and protective equipment. Areas that generate dust require respiratory protection devices, as well as eye protection and eye wash stations. Metalworking can result in amputations, burns from welding and heated metal, exposure to dust, and respiratory problems from inhaling spray-paint or solvents.
Plastics have similar exposures, plus a potential for burns from heated machinery and eye and skin irritation from chemicals and resins. Moving blades or sharp cutting surfaces pose high risks during quality control testing.
Property exposures consist of an office, plant, and warehouse or yard for storage of raw materials, components, and finished units. Ignition sources include electrical wiring, heating systems, production machinery, welding and spray painting. Wear and tear and overheating of machinery are potential fire hazards.
There may be fuel tanks on premises. Hazards may include woodworking, sheet metal work, casting, heat treating, electroplating, plastic, fiberglass work, and upholstery operations. In the absence of well maintained dust collection systems, cutting and buffing operations can generate dust which can catch on fire. Welding should be done in a separate area away from combustibles.
Spray painting should be conducted in an area with explosion-proof wiring that meets all UL standards. Poor housekeeping, such as failure to collect and dispose of trash on a regular basis, could contribute significantly to a loss. Unless disposed of properly, greasy, oily rags (such as those used to clean machinery) can cause a fire without a separate ignition source.
Property stored in the open may be subject to loss by wind or hail or a target for vandalism. 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.
Bottlenecks in the assembly process may result in a high concentration of values of partially completed units, affecting both property valuation and business income. There may be a substantial exposure to loss of income resulting from damage to contributing or dependent properties such as suppliers or customers.
Equipment breakdown exposures include malfunctioning production equipment, dust collection and ventilation systems, electrical control panels and other apparatus. These should be properly maintained and records kept in a central location. A lengthy breakdown could result in severe loss, both direct and under time element.
Crime exposure comes from employee dishonesty and theft as component parts and finished items are high in value. Employees may act alone or in collusion with outsiders in stealing money, raw materials or finished stock. 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. There should be security methods in place to prevent theft.
Inland marine exposures include accounts receivable if the manufacturer offers credit, computers (which may include computer-run production equipment), exhibitions, goods in transit, and valuable papers and records for customers' and suppliers' information.
Backup copies of all records should be made and stored off premises. There may be contractors' equipment such as forklifts. The primary causes of loss are fire, wind, hail, theft, collision, and overturn.
Business auto exposure can be high if the manufacturer picks up raw materials or components or delivers finished goods to customers. 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 must be well maintained with documentation kept in a central location.
Commercial Insurance And Business Industry Classification
- SIC CODE: 3524 Lawn And Garden Tractors And Home Lawn And Garden Equipment
- NAICS CODE: 333112 Lawn and Garden Tractor and Home Lawn and Garden Equipment Manufacturing
- Suggested ISO General Liability Code(s): 59783, 56654
- Suggested Workers Compensation Code(s): 3507
Description for 3524: Lawn And Garden Tractors And Home Lawn And Garden Equipment
Division D: Manufacturing | Major Group 35: Industrial And Commercial Machinery And Computer Equipment | Industry Group 352: Farm And Garden Machinery And Equipment
3524 Lawn And Garden Tractors And Home Lawn And Garden Equipment: Establishments primarily engaged in manufacturing lawnmowers, lawn and garden tractors, and other lawn and garden equipment used for home lawn and garden care. Also included are establishments primarily engaged in manufacturing snowblowers and throwers for residential use. Establishments primarily engaged in manufacturing farm machinery and equipment (including commercial mowing and other turf and grounds care equipment) are classified in Industry 3523; those manufacturing hand lawn and garden shears and pruners are classified in Industry 3421; and those manufacturing other garden handtools are classified in Industry 3423.
- Blowers, residential lawn
- Carts for lawn and garden use
- Cultivators (garden tractor equipment)
- Grass catchers, lawnmower
- Hedge trimmers, power
- Lawn edgers, power
- Lawn rollers, residential
- Lawnmowers, hand and power: residential
- Loaders (garden tractor equipment)
- Mulchers, residential lawn and garden
- Plows (garden tractor equipment)
- Rototillers (garden machinery)
- Seeders, residential lawn and garden
- Snowblowers and throwers, residential
- Tractors, lawn and garden
- Vacuums, residential lawn
- Wagons for residential lawn and garden use
Lawn Mower Manufacturers Insurance - The Bottom Line
Not all lawn mower manufacturers insurance policies are similar. In fact, they can be very different in premiums and coverages. You can see if your business has the best fit insurance policies by talking to an experienced commercial insurance agent.
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.
- Audio & Video Equipment
- Auto Parts
- 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
- Down And Feather Products
- Dry Ice
- Dyes & Pigments
- Electronic Toys & Games
- Exercise Equipment
- Farm Equipment
- Feed & Grain
- Fur Garment
- Garage Door
- Gypsum Products
- 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
- 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
- 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.