Pottery Manufacturers Insurance Policy Information
Pottery Manufacturers Insurance. Pottery is among the most ancient skills, serving both decorative and functional purposes. Plates, bowls, cups, vases, and other everyday objects are made from clay or other ceramics. As people did long ago, pottery can still be produced in small workshops with rudimentary tools, mostly by hand.
Pottery manufacturers produce dinnerware, cookware, collectible and ornamental objects made of clay. The process involves mixing raw materials, predominantly clay, with pigments or other materials to achieve the desired color, texture, and strength.
This mixture is formed into products by a variety of methods, such as on roller head machines or in slip casting molds, shaped by hand or on a potter's wheel, and finally baked ("fired") in a kiln. The pottery may be glazed before the firing, or glazed afterwards and refired.
The raw materials may be purchased from others or mined at the manufacturer's own quarries. After mining, the raw materials are run through crushing, sorting and mixing operations to achieve the proper proportions of materials.
Industrial evolution has also, however, made the mass production of pottery products with large machines possible. Machines as varied as blungers, jiggering machines, kilns, and glazing equipment is employed in pottery factories on massive assembly lines.
If you own a company that manufactures pottery - whether it is a small workshop or a large pottery factory - you make products millions of people across the globe rely on for their daily needs. Companies within this industry are also, like any commercial venture, exposed to a broad range of hazards that could lead to serious financial losses.
That is why it is crucial to arrange for the right kind of pottery manufacturers insurance, and here, we will examine what forms of insurance might be required.
Pottery 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 pottery manufacturing insurance questions:
- What Is Pottery Manufacturers Insurance?
- How Much Does Pottery Manufacturers Insurance Cost?
- Why Do Pottery Manufacturers Need Insurance?
- What Type Of Insurance Do Pottery Manufacturers Need?
- What Does Pottery Manufacturers Insurance Cover & Pay For?
What Is Pottery Manufacturers Insurance?
Pottery Manufacturers Insurance is a type of insurance coverage specifically designed for companies that manufacture pottery or ceramic products. It provides protection against a variety of risks, including liability for product defects, property damage, and loss of inventory.
This insurance can also cover the costs of repairing or replacing equipment, as well as the cost of lawsuits and legal fees that may arise from product liability claims. The coverage can be customized to fit the specific needs of the pottery manufacturer, and is typically purchased as part of a comprehensive business insurance policy.
How Much Does Pottery Manufacturers Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small pottery manufacturing businesses ranges from $57 to $79 per month based on location, size, revenue, claims history and more.
Why Do Pottery Manufacturers Need Insurance?
"Circumstances beyond your control" - events that you could not have planned for or prevented - can strike any company, including those that make pottery. The potentially ruinous risks you have to take into account when looking at your insurance needs comprise both those seen in every field of business and those exclusive to your business.
Theft and vandalism, for example, might impact any company. The cost of replacing the lost or damaged equipment and commodities can stretch far beyond what a company is capable of handling on their own. Acts of nature, like hurricanes, earthquakes, and wildfires, but also serious floods, can be even more devastating.
Kilns or other equipment essential to your production line could break down, leading to repair or replacement costs as well as costly interruptions in production. Companies making pottery further have to consider the risk of workers becoming injured over the course of their jobs and then being held liable. Third parties, too, can suffer accidents on your premises.
This small glimpse into the things that can go wrong within a pottery factory or workshop does not cover all the risks you will face, but it does suffice to explain why the correct pottery manufacturers insurance coverage is so crucial.
What Type Of Insurance Do Pottery Manufacturers Need?
Each company is unique - and their insurance needs are, too. The size and scope of your business, the kinds of ceramics you work with, the location of your manufacturing facility, and your number of employees are just some of the factors that influence what kinds of insurance you will need.
A commercial insurance agent is best situated to walk you through the process. The kinds of pottery manufacturers insurance you cannot do without include, however:
- Commercial Property: This kind of insurance covers your physical assets from financial losses resulting from unforeseen circumstances that include theft, vandalism, and fire. Your physical building, manufacturing equipment, raw materials, inventory, and even furniture fall under this coverage.
- General Liability: Should third parties become injured within your manufacturing facility, or should your company's activities cause damage to third party property, this kind of pottery manufacturers insurance helps cover legal and settlement expenses (such as medical and repair bills).
- Workers Compensation: In every industry, workers can sustain work-related injuries. They vary from inhaling ceramic dust to being burned during the manufacturing process in your field, but companies can even be held liable for slips on wet floors. Workers' compensation insurance will help by covering injured workers' lost wages as well as medical bills.
- Product Liability: Any manufacturer that makes products that could, in case of malfunction or improper use, cause bodily harm or property damage, will further want to consider product liability insurance. In the pottery business, that might include the eventuality that end consumer are exposed to toxic compounds.
Remember that your insurance needs might differ from those of another manufacturer in the same field, as well as that the cost of the policies and the exact coverage they provide can vary significantly.
A competent commercial insurance broker is invaluable in helping you build the pottery manufacturers insurance plan you need, for the best price.
Pottery Manufacturing's Risks & Exposures
Premises liability exposures 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. The storage of raw materials or recycled pottery outdoors can produce attractive nuisance hazards to trespassers, particularly children.
Fumes, dust, and noise from processing operations may affect neighbors. This can result in a high frequency of nuisance claims, but may also cause serious health problems due to the generation of silica dust.
Blasting poses high exposures as neighboring properties may be damaged, either directly or by shock waves.
Products liability exposures are generally low to moderate. There should be good quality control procedures in place, with checks conducted to detect cracks, blemishes or other defects.
Environmental impairment exposure is moderate to high due to the potential for air, land and water pollution from dust and fuel storage tanks. Most pottery manufacturers will have fuel tanks on premises and may require a UST policy. Vapors, fumes and air pollutants, wastewater and by-products disposal must be evaluated and controlled.
Disposal procedures must adhere to all EPA and other regulatory standards. Reclamation procedures should be in place to control the impact of the quarrying operation on the environment. There is the possibility of claims for cumulative structural damage to neighboring foundations from the heavy traffic of quarry operations.
Workers compensation exposure is serious 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.
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. Maintenance and fueling of machinery and kilns may require workers to enter confined spaces.
Exposure to rock dust and silica may cause serious skin, eye and respiratory irritations, and lead to occupation diseases such as Silicosis or Shaver's Lung.
Property exposures consist of office, production plant and warehouse for raw materials and finished goods. Ignition sources include electrical wiring, heating systems, production machinery, kilns, and the storage of large amounts of fuels to operate them. The kilns may burn continuously and must be monitored to prevent overheating.
Maintenance of equipment is critical to prevent wear and tear and overheating, which are potential fire hazards. In the absence of well maintained dust collection systems, cutting and buffing operations can generate dust which can catch on fire. Operating the kilns without adequate ventilation systems can build up flammable vapors and heat that can result in fire or explosion.
Fuels stored on premises should be separated from processing areas. Some types of pottery are extremely fragile and subject to breakage; neither the raw materials nor the finished goods are susceptible to fire, water or smoke damage. Explosives used in blasting operations may explode and are targets for theft.
Equipment breakdown exposures include malfunctioning production equipment for both the kiln and the hydraulic press used to compact the clay, 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 to production machinery could result in severe loss, both direct and under time element.
Crime exposure comes from employee dishonesty and theft as finished items may be high in demand. 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 those 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), 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. Stock in transit may be highly susceptible to damage from breakage in a collision or overturn, and possibly theft. There will be a contractors' equipment exposure if there is a quarry.
Commercial auto exposure can be high if the manufacturer has a quarry, picks up raw materials 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.
What Does Pottery Manufacturers Insurance Cover & Pay For?
Pottery manufacturers, like any other businesses, can face a variety of legal issues that could potentially lead to lawsuits. Here are some common reasons and how insurance can help:
1. Product Liability: If a pottery product causes injury or harm due to a design or manufacturing defect, customers might sue the manufacturer. For instance, a ceramic dish may contain harmful materials or a vase might shatter unexpectedly, causing injury. Product liability insurance would cover legal costs, settlements, or judgments related to these claims. This insurance can pay for an attorney, court fees, and any damages awarded to the plaintiff if the pottery manufacturer is found to be at fault.
2. Worker's Compensation: If an employee gets injured while working, they might sue the company for compensation. In the pottery industry, risks could include cuts from sharp tools, burns from kilns, or chronic conditions like repetitive stress injuries. Workers' compensation insurance not only is required in most states but also protects businesses from these lawsuits by providing coverage for medical expenses, rehabilitation costs, and a portion of lost wages for injured employees. This insurance also includes employer's liability coverage, which can help pay for legal costs if an employee sues over the injury.
3. Property Damage: A fire, flood, or other disaster could damage the manufacturer's premises, machinery, or inventory. If this happens, the business could be sued by landlords, suppliers, or others who suffer losses as a result. Commercial property insurance helps cover the cost to repair or replace damaged property and could also cover business interruption costs, helping the manufacturer stay afloat financially while the facility is being repaired.
4. Intellectual Property Infringement: Pottery manufacturers could be sued if they're accused of copying another artist's design. This can be a complex area of law, but General Liability Insurance often includes coverage for advertising injuries, which can include accusations of copyright or trademark infringement. This insurance can cover legal fees, settlements, and any damages awarded in court.
5. Breach of Contract: If a pottery manufacturer fails to fulfill a contract, such as not delivering an order on time or not meeting specified quality standards, they could be sued by the other party. Professional Liability Insurance (also known as Errors & Omissions insurance) can help cover the legal costs and any damages associated with these types of claims.
Having the right business insurance coverage is crucial for pottery manufacturers as it can shield them from potentially devastating financial losses associated with lawsuits. It's also important to note that the specific coverage needs may vary depending on the size, location, and nature of the operations of the manufacturer.
Commercial Insurance And Business Industry Classification
- SIC CODE: 3263 Fine Earthenware (Whiteware) Table And Kitchen Articles, 3269 Pottery Products, Not Elsewhere Classified
- NAICS CODE: 327110 Pottery, Ceramics, and Plumbing Fixtures Manufacturing
- Suggested Workers Compensation Code(s): 4053 Pottery Manufacturing - China or Tableware, 4062 Pottery Manufacturing - Earthenware - Glazed or Porcelain - Hand Molded or Cast
Description for 3263: Fine Earthenware (Whiteware) Table And Kitchen Articles
Division D: Manufacturing | Major Group 32: Stone, Clay, Glass, And Concrete Products | Industry Group 326: Pottery And Related Products
3263 Fine Earthenware (Whiteware) Table And Kitchen Articles: Establishments primarily engaged in manufacturing fine (semivitreous) earthenware table and kitchen articles for preparing, serving, or storing food or drink. Establishments primarily engaged in manufacturing vitreous china table and kitchen articles are classified in Industry 3262.
- Cooking ware, fine earthenware
- Earthenware: commercial and household-semivitreous
- Kitchenware, semivitreous earthenware
- Tableware: commercial and household-semivitreous
- Whiteware, fine type semivitreous tableware and kitchenware
Description for 3269: Pottery Products, Not Elsewhere Classified
Division D: Manufacturing | Major Group 32: Stone, Clay, Glass, And Concrete Products | Industry Group 326: Pottery And Related Products
3269 Pottery Products, Not Elsewhere Classified: Establishments primarily engaged in firing and decorating white china and earthenware for the trade and manufacturing art and ornamental pottery, industrial and laboratory pottery, stoneware and coarse earthenware table and kitchen articles, unglazed red earthenware florists' articles, and other pottery products, not elsewhere classified.
- Art and ornamental ware, pottery
- Ashtrays, pottery
- Ceramic articles for craft shops
- Chemical porcelain
- Chemical stoneware (pottery products)
- China firing and decorating, for the trade
- Cones, pyrometric: earthenware
- Cooking ware: stoneware, coarse earthenware, and pottery
- Decalcomania work on china and glass, for the trade
- Earthenware table and kitchen articles, coarse
- Encrusting gold, silver, or other metal on china, for the trade
- Figures, pottery: china, earthenware, and stoneware
- Filtering media, pottery
- Florists' articles, red earthenware
- Flower pots, red earthenware
- Forms for dipped rubber products, pottery
- Grinding media, pottery
- Heater parts, pottery
- Kitchen articles, coarse earthenware
- Lamp bases, pottery
- Pottery: art, garden, decorative, industrial, and laboratory
- Pyrometer tubes
- Rockingham earthenware
- Smokers' articles, pottery
- Stationery articles, pottery
- Textile guides, porcelain
- Vases, pottery (china, earthenware, and stoneware)
Pottery Manufacturers Insurance - The Bottom Line
Pottery manufacturers insurance policies can vary widely in cost, coverage and exclusions. To see if your pottery manufacturing operation has the best fit insurance policies - talk to an experienced business insurance agent.
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
- 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
- Industrial Equipment
- Iron & Steel Foundries
- Lawn Mowers
- Leather Apparel
- Leather Goods
- 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
- Vegetable Juice
- Vending Machines
- Wire Rope
- Wood Furniture
- Writing Instruments
- 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.