American consumers love their caffeinated beverages and treats, whether they prefer a $4 cappuccino from Starbucks or a basic cup of joe from the local gas station.
Coffee and tea manufacturers are the backbone of the booming coffee business, serving retailers and coffee sellers by:
All of these are complex processes involving heavy equipment, manual labor, and the potential for problems. Like all food processors, coffee and tea manufacturers face both traditional and unique risks involving property damage, lawsuits, product spoilage, and product recalls.
Coffee and tea manufacturing insurance helps you recover financially when these problems occur, so you can focus on producing a quality product and keeping your doors open for the long term.
Business insurance acts as a financial backup when you face certain losses. Your coffee and tea manufacturing insurance policies should protect against the specific risks you face.
Problems can arise at any time in the coffee manufacturing process. Machines can break, contaminants can be inadvertently introduced into your product, and other outside forces can damage your facility or force a shutdown. These can all result in serious financial losses.
What’s more, you can also be subjected to costly liability claims and lawsuits, product recalls, accidents involving your vehicle fleet, equipment breakdowns, business interruptions, and more.
Could you recover if you experienced any of the following:
Coffee and tea manufacturing companies face many risks that are similar to other food processors, like employee injuries, car accidents, and property loss. You also face many unique exposures related to spoilage, food safety, and product recalls.
You need a variety of coffee and tea manufacturing insurance policies to appropriately cover your risks and ensure your company can stay afloat even after the worst happens. Talk to your independent insurance agent about protecting your business property with:
You depend on the flawless operation of essential equipment. If a machine breaks down or a storm, power outage, or other interruption plagues your production line, there is probably an insurance policy that can help.
Product spoilage is also a concern for any food manufacturer. Coffee or tea that is spoiled or contaminated on-site cannot be sold and becomes a total loss.
Depending on where your facility is located, you may need additional flood, windstorm or earthquake coverage. Your agent can help you decide if this coverage is necessary, and can find the policies that best fit your unique needs.
If you or your products cause any type of illness, injury, or property damage, you can be sued and required to reimburse the injured party.
If a non-employee or a member of the general public is injured in your plant, your CGL coverage will pay for related medical bills. It also pays for repairs or replacement if someone’s personal property is damaged on your premises.
If you are sued, your CGL policy helps to pay for legal fees associated with the lawsuit, as well as any settlements or judgments that you are required to pay.
You probably need a few other liability policies or endorsements to complete your coffee and tea manufacturing insurance program and fully cover your unique risks. These include:
All food processors are at risk for product recalls. If you must recall a coffee or tea product from the market, the financial costs of removing the product from the market, disposing of the product, and containing the public relations and reputational fallout are often too devastating to recover from.
Product recall insurance helps companies pay for the immediate and long-term costs of a product recall. It helps you pay for:
Coffee and tea manufacturing workers can be plagued by a variety of moderate to severe injuries as a result of their work.
Consider the physical stress that is placed on an individual who spends long hours receiving raw materials at a loading dock, performing packaging operations, or operating large machinery or forklifts. Repetitive motion injuries are often the result.
What’s more, slippery floors or obstructions can lead to slips, trips, and falls.
When workers are injured at work, should they be forced to pay for their own medical bills? What if they need time to recover and cannot work? How would you pay if they sued you for damages?
Workers’ compensation is the answer for all of these questions. It pays for medical expenses and lost wages for employees who are injured on the job. It also ensures that you will not be sued for further damages.
Each state has workers’ compensation insurance laws. Most states require nearly every business that has employees to provide this coverage. Your state’s workers’ compensation statutes determine:
Talk with your independent insurance agent about workers’ compensation insurance. Your agent should be able to educate you about your state’s workers’ compensation requirements, and help you find adequate coverage.
The cost of coffee and tea manufacturing insurance depends on several factors, including the size of your business and the types of policies you need to cover your unique risks.
With so many variables (e.g., number of employees, types of manufacturing equipment, size and location of your building, and the volume and geographical distribution of your products), costs may vary significantly from one coffee manufacturer to another.
An independent agent can work with you one-on-one to determine the types and amounts of coverage you need. Your agent can get quotes from multiple insurance companies so you can evaluate the cost and coverage options and make the best choice.
Our agents simplify the search process for finding the right coffee and tea manufacturing insurance. They’ll walk you through some handpicked policy options and explain the details.
Most importantly, they’ll be there for you when claim time comes. They know the ins and outs of the process and will make sure your claim is handled appropriately.
Online quotes can be tempting. They are fast and easy to get—but are they accurate? And are you getting quotes for the right coverage? For business owners, choosing speed over accuracy can cost you.
Online quotes can’t and don’t see the whole picture. They can leave out important coverage that will leave you devastated if something unexpected happens. And they can leave out cost-saving opportunities that an agent can help you take advantage of.
Instead of getting an online quote, find an independent insurance agent now, and get one-on-one consultation and affordable options for the best coverage for your unique needs.