Certain apparel printers who do not utilize screen printing belong to the commercial printing industry. These apparel printers may use a method called direct-to-garment printing. It is a method of printing graphics onto garments and textiles. Inks are “sprayed” onto the garment, and they then soak into the fibers, creating a custom design. This type of apparel printing is similar to printing on paper, but it is used strictly for apparel printing.
Apparel printers need to understand their business risks and protect their businesses from unexpected losses. Apparel printing insurance can help you protect all aspects of your business, including your customers, your employees, and your property and equipment.
An independent insurance agent can help you find tailored business insurance that covers your apparel printing risks.
Why Do You Need Apparel Printing Insurance?
Apparel printing uses modified inkjet technology to print whatever graphic a customer wants onto a garment or textile. Apparel printers can fulfill bulk orders of printed apparel, and can even print one-offs or complete smaller, on-demand runs. Apparel printers help their clients produce nearly limitless clothing designs, with almost no color limitations, photorealistic images, and detailed design work.
When you’re using complex machinery to complete time and quality sensitive jobs, the unfortunate truth is that sometimes things go wrong. A single error, either in the printing process or in the finished product, can be disastrous for both your client and your business. A client can sue you if you fail to complete a job as promised or fail to complete a job on time, or if your finished product contains an error.
You can also be sued simply because a visitor trips and falls in your printing facility or office, or if you damage someone else’s property.
What’s more, you’ve also got expensive buildings, equipment, garments and textiles, inks, and other inventory and supplies that are not only valuable, but that are also highly susceptible to fire, smoke, and water damage. What would you do if you faced a partial or total loss?
That’s where your apparel printing insurance can help. It helps you cover the costs of property and liability claims, so you can recover and stay in business.
What Does Apparel Printing Insurance Cover?
You can protect your operations, products, and customers with a variety of apparel printing insurance policies. Start with these basics:
- Commercial general liability (CGL) insurance is necessary for times when your business is negligent and causes bodily injury or property damage to a third party. If someone slips on a wet floor in your print shop, this is the policy you need to cover medical expenses for the injured person, and to cover your legal fees if you’re sued. General liability insurance also covers product liability claims, as well as libel, slander, advertising liability, and copyright infringement claims.
- Commercial property insurance protects your building and other property in the event of a covered loss, such as fire, vandalism, smoke, or theft. It provides coverage for lost inventory, printers, machinery, tools, warehouses and office space, office equipment, computers, and more. It may also provide coverage for neighboring facilities and completed products housed on your premises. Coverage applies whether you own or lease your business property.
- Business interruption coverage, or business income coverage, protects your earnings and helps to pay expenses if your business is unable to operate because of damage caused by some type of covered disruption (fire, hail, wind, equipment breakdown). You can even include coverage for breakdowns in utility services (water, electrical) if a storm or some other event takes down power lines and cuts off your electrical and telephone service, and you’re forced to temporarily close your doors.
You need to work with an experienced independent insurance agent who can help you evaluate and calculate how much and what type of coverage you need for your apparel printing operations, equipment, and inventory. While evaluating your business for property insurance, your agent is likely to pay close attention to how you handle the flammables on your property. Taking appropriate fire precautions will help you secure better coverage and lower rates.
Do You Need Other Apparel Printing Insurance Policies?
Basic property and liability insurance offers broad protection for apparel printers, but they don’t cover everything. There are a variety of other apparel printing insurance policies that you’ll need to consider to make sure you don’t have any gaps in coverage.
- Cyber liability insurance: A virus, hacker, or glitch in your computer system can wreak havoc on your printing business. When clients, employees, vendors, or others have their sensitive data compromised, you’re responsible for paying for many of the damages, and you may also be sued. Cyber liability insurance protects you from the risks associated with cyberattacks, data breaches, viruses, and other cyber-related issues.
- Environmental liability insurance: The inks and solvents that you use in the printing process could be toxic and may contaminate the air, ground, or water if they are not handled properly. Environmental liability insurance covers a variety of pollution exposures.
- Commercial auto insurance: Covers your vehicle fleet and drivers in the event of an accident or other vehicle damage that occurs. Commercial auto insurance provides coverage for property damage and bodily injury liability claims, vehicle damage, and medical bills, as well as any costs related to lawsuits due to auto accidents involving your vehicle fleet as they transport your products from place to place.
- Commercial umbrella insurance: Provides an extra layer of liability protection to any of several other policies you might have. Commercial umbrella insurance kicks in when the limits of your other applicable insurance policies have been exhausted, protecting you in the event that a claim exceeds the amount of coverage available from any other applicable policy.
- Worker's compensation insurance: Provides insurance coverage when accidents happen in the workplace. Your employees are susceptible to repetitive motion injuries, as well as other elbow, wrist, and back injuries. What’s more, employees may suffer from ankle, knee, and hip degeneration related to long hours standing at work. Worker's compensation insurance provides benefits to injured workers regardless of who is at fault for their injury. It pays for related medical expenses and lost income if the injured employee is unable to work due to their injury.
- Computers and media coverage: Helps you pay to replace lost data and related lost income if your computers are damaged by a covered loss, such as theft, vandalism, viruses, or malware. It may also pay for physical damage to computers or hardware.
Printers and Publishers Professional Liability Insurance for Apparel Printing
Printers and publishers professional liability insurance is a special type of errors and omissions insurance designed for commercial printers and publishers, including apparel printers. It protects you if you make a mistake or an error during the printing process or if you fail to deliver products as promised (such as missing a deadline).
In these cases, your professional liability insurance may cover the costs of any legal action against you, even if the claims are unfounded. It can also protect you from accusations of copyright infringement, defamation, libel, and slander.
If you’re sued for an error or oversight in your services, a printers and publishers professional liability policy is likely to pay for:
- Attorney fees and court costs
- Court-ordered judgments
Some policies may also cover the costs to remove or destroy the erroneous work as well as cover the costs associated with reprinting it.
Other Ways to Protect Your Commercial Property
You may also need additional coverage for any property that is being transported from place to place.
- Inland marine insurance protects you from losses when cargo is damaged in transit. Any piece of property that is moved from one location to another can be covered with an inland marine policy.
Another potentially devastating property risk for apparel printers is damage to or breakdown of equipment. Without your specialized printing presses and other equipment, your business would be unable to operate, pay for expenses, and earn revenue.
- Equipment breakdown insurance, often referred to as boiler and machinery coverage, supplements your business property insurance. It covers certain costs associated with accidental breakdown of machinery or equipment and the resulting property damage or loss.
Equipment breakdown coverage protects against breakdowns caused by power surges, motor burnout, boiler malfunction, and operator error. It covers all sorts of equipment, including new technology. Equipment breakdown coverage may pay for the cost of repairing the damaged equipment, the costs associated with the time and labor to repair or replace the equipment, business income losses when a covered breakdown causes a business interruption, and the cost to replace spoiled stock or materials.
How Much Does Apparel Printing Insurance Cost?
In general, apparel printing insurance costs will vary depending on the size of your business, the number of employees you have, the amount and value of your commercial property, the location of your business, and a variety of other variables.
An independent insurance agent can guide you though your options so you get coverage that meets your needs and budget.
Benefits of an Independent Agent
Independent insurance agents simplify the search process for finding the right apparel printing 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.
The Lowdown on Online Quotes
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.
TrustedChoice.com Article | Reviewed by Paul Martin
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