Insurance For Metal Workers: Everything You Need To Know: Metalworking and precision engineering can encompass a wide range of activities, from turning, milling, drilling, tapping, bending, folding, boring, planning, shaping, grinding, laser cutting, pressing, welding … to wire and spark erosion … to fettling, linishing, polishing and plating. Whether using CNC machining centres and/or conventional equipment, our Engineering Select Combined Commercial Insurance Scheme for Metalworkers and Precision Engineers can accommodate a broad spectrum of activities.
From general fabrication and sheet metal work, to highly skilled precision engineering involving exacting specifications and tolerances, it is essential to invest in the right insurance to protect your business whether you are fabricating and/or providing a sub-contract machining service.
Why Do You Need Specialist Insurance for Metal Workers?
Metal working processes can be very varied and our Engineering Select Combined Commercial Insurance Scheme for Metalworkers has been developed to specifically cater for the combined commercial insurance needs of the metal working and precision engineering sector.
Our Scheme for Metalworkers encompasses the following key benefits:
Removal of the Average Condition
Most policies carry an average condition, whereby in the event of under-insurance, a claim would be pro-rata adjusted down, in accordance with any degree of under-insurance, however our scheme insurers understand that it can at times be difficult to value metalworking machinery. Due to the very nature of conventional metal working machinery, it can often be a challenge to determine the ‘new for old reinstatement value’, given that such machinery is often no longer manufactured and may have been purchased reconditioned. In the event of a claim, it may well be the case that a more modern, multi-function machine could replace a number of traditional machines.
By removing the average condition, our scheme insurers will pay up to the limit of policy cover, thus allowing a greater degree of flexibility in the negotiation and settlement of claims.
Stock & Tooling at Sub Contractors Premises
Our scheme insurers understand that metalworkers and precision engineers may use outworkers for certain processes such as: heat treatment, specialist machining services, powder coating etc, therefore the Property Damage section is automatically extended to include cover for up to £50,000 Stock & Tooling whilst temporarily removed from the premises and held at a subcontractors premises. Higher limits can be agreed on referral, on a blanket or contract specific basis.
£5,000,000 Public/Products Liability
Our scheme insurers provide £5,000,000 Public/Products Liability cover as standard, for all policyholders at no additional cost.
Hauliers Goods in Transit included as standard, where Goods in Transit cover is operational
If you use outside carriers and your goods are being carried under the Road Haulage Association (RHA) Conditions of Carriage, the carriers insurance cover is limited to up to £1,300 per Tonne. This limit can fall far short of the actual value of goods lost or damaged in transit. Where components are being sent to subcontractors premises for additional treatment or machining, or indeed where finished goods are being dispatched, RHA conditions of carriage are rarely adequate, with the carrier only indemnifying a fraction of the value of goods lost or damaged in transit. Our scheme insurers provide cover for Hauliers at the same level as the Own Goods in Transit limit of indemnity for no additional cost.
Many insurers no longer allow any form of unattended machining operations, which can be somewhat frustrating given that wire eroders, CNC machines and other automated machines are designed to operate ‘lights out’, outside of normal working hours. Whilst our scheme insurers don’t permit unattended spark erosion as standard, our insurers do accommodate other unattended processes.
Financial Loss Extension
In addition to the above, the Public and Products Liability Sub-Sections of our scheme are extended to include up to £100,000 in respect of your legal liability for Compensation and Costs and Expenses in respect of any claim for financial loss first made against you during the period of insurance.
In addition to the above insurance covers, our Engineering Select Combined Commercial Insurance Scheme includes Arch Risk Management
Arch Risk Management is an excellent online risk management resource, which enables you to manage your employees and focus on workplace safety.
Our scheme insurers includes unlimited access to the following, for all policyholders:
- Health & Safety Self-Assessment (gap analysis)
- Ask the Expert accessible 24/7, with a guaranteed response within 24 hours, securely stored onsite.
- Industry guides for key business areas.
- Health & Safety and Human Resources management support.
- Business continuity portal.
- Document manager to restore records in one easily accessible location.
- News alerts and regular updates on legislative changes and matters important to your business.
The above can help ensure your business is compliant with current law and that you have systems are in place to promote employee safety and defend your business from personal injury claims.
And of course the core covers
Providing cover for your Plant, Machinery, Fixtures & Fittings, Tooling, Patterns, Moulds, Jigs & Fixtures, Stock, Work in Progress, Finished Goods, Non Ferrous Metals, Goods Held In Trust for which you are responsible, Electronic Business Machines, Tenants Improvements, Glass and All Other Trade Contents. With optional Buildings insurance cover.
Business Interruption is an important cover, designed to put your company in the financial position it would have been in, had a claim not occurred. Insurers ordinarily provide cover on a Loss of Gross Profit basis, however £ for £ they will cover the increased costs of working incurred (with their agreement) to mitigate overall claims costs. What needs to be considered when determining the indemnity period, is the maximum time that it could take your business to get fully back up and running following a claim, taking into consideration the possible worst case scenario and the time it would take to: replace stock; replace general plant/machinery; replace specialist machinery; demolish existing buildings and site clearance; design and plan for new premises, as well reconstruction; restore both the supplier and customer base etc.
Liability is an important aspect of a policy for all businesses with metalworking and precision engineers being no exception. There are three parts of liability insurance that you should consider:
- Public & Product liability provides indemnity in respect of your legal liability to third parties for accidental death, bodily injury or disease or damage to third party property arising out of your business, including liability to third parties for accidental death, bodily injury or disease or damage to third party property arising from goods sold, supplied, manufactured or processed by yourselves.
- Employer’s liability (E/L) is a legal requirement which you must have if you have any employees (including apprentices, labour only subcontractors etc) working for you. E/L cover provides indemnity in respect of your legal liabilities to employees for death, bodily injury or disease arising out of or in the course of their employment. N.B. As an employer you are legally responsible for accidents which may result from the acts or omission of your employees, the liability extends under common law to the payment of compensation to injured employees.
At Insurance2day we take pride in the flexibility of our metalworkers and precision engineers insurance scheme, which has a range of optional covers including: Money & Personal Accident (Assault); Personal Accident; All Risks and Goods in Transit. Whilst our specialist Engineering Select Combined Commercial Insurance scheme is tailored specifically for metalworkers and and precision engineers, you can select which aspects of the cover suit your business’ requirements.
If you are a Precision Engineer, Sub Contract Machinist, Toolmaker, Metalworker/Fabricator, General Production Engineer, Stockholder, Pattern Maker, Plater, Galvaniser or Finisher, contact us now to see what cover enhancements and premiums savings we can secure for you.
or Call Us on 01384 442 165 during Office Hours (Monday – Friday, 9am-5pm)
We will gladly discuss and review your insurance requirements, and answer any questions you may have.