What Types of Insurance Do Michigan Manufacturers Actually Need?

Michigan manufacturers face various exposures that can threaten operations without warning. Equipment failures can halt production for days, while a defective product reaching consumers can trigger costly liability claims. Employees working near heavy machinery face elevated injury risks compared with workers in other industries. Supply chain disruptions, property damage from fire or severe weather, and employment-related disputes round out the landscape of risks a well-structured insurance program needs to address.

Essential Coverages for Manufacturing Operations

A well-structured manufacturer’s insurance program typically consists of the following:

• Commercial property insurance: Covers the building, equipment and inventory against fire, theft and other covered losses.
• General liability insurance: Financially protects against third-party bodily injury and property damage claims that occur on your premises or because of your operations.
• Product liability insurance: Covers claims arising from harm caused by products you manufacture, distribute or sell.
• Commercial auto insurance: Covers vehicles used in business operations.
• Workers’ compensation insurance: Addresses employees’ work-related injuries and illnesses.
• Equipment breakdown coverage: Pays for repairs or replacement after a mechanical or electrical failure.
• Business interruption coverage: Helps replace lost income and pay ongoing expenses when operations halt due to a covered event.
• Employment practices liability insurance: Addresses employment-related claims, such as wrongful termination, discrimination or harassment.
• Commercial umbrella insurance: Extends liability limits across your existing policies, which matters when a product defect or worksite injury results in a large claim.

Learn More

Contact Willow Insurance Group today to explore business insurance options. Our team can help you build a program that fits your operation. We serve manufacturers throughout Waterford Township, MI and beyond.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.