These days, almost every homeowner has a little companion by their side. After all, who doesn’t enjoy company for a furry cat or adorable puppy? With the rising demand for pets, many people are thinking of stepping into the pet business. While pet lovers are opening daycare centers, others are getting into the pet food manufacturing business. Surprisingly enough, there is a lot of money in keeping little friends well-fed and healthy.
Besides ensuring pet food quality and safety, you have to keep up with the food trends as a pet food manufacturer. Instead of producing chemicalized foods to remove the smell, offer organic dog and cat food with whole-food ingredients. You can manufacture dry kibble to create large quantities of shelf-stable pet food. Remember, the manufacturing process involves high-tech machinery, which means you have to be super careful during the process.
Most importantly, secure your business assets. Whether you are producing fish in different colors or chicken in small bites – making pet food involves a complex process. The slightest error and fault can lead to hefty losses and worker injuries. Thus, don’t forget to get insurance for your pet food manufacturing venture. However, if you are unaware of insurance policies, have a look below.
Here we are unfolding different pet food manufacturing insurances that can protect your assets and ensure success.
1. Business Interruption Coverage
Today, the volatility in markets has made it impossible to anticipate the upcoming risks. Your pet food business might be performing well with skyrocketing profits, but you never know when things take an ugly turn. At times, short circuits lead to fire breakdowns, while sometimes, weather affects businesses’ smooth functioning. To secure your business from all such unfortunate times, get Pet food manufacturing insurance for business interruption. It protects your earnings and helps owners pay expenses when the business is unable to operate.
2. Commercial Property Insurance
We have heard of many cases of fire breakdown in factories and manufacturing units. If you wish to safeguard your property from moral hazards such as fire, smoke, or theft, get insurance. Commercial property insurance provides coverage for all physical damage to your machinery, warehouse, office space, and equipment. It also compensates for raw materials you are yet to process and left-over inventory. Alongside providing maximum coverage for property and belongings, it protects your entire business against potential losses.
3. Inland Marine Coverage
Do you import raw materials? Despite its name, marine insurance has nothing to do with protecting your boat. It provides cover for commercial goods that you ship over land. Therefore, you don’t have to worry about consignment getting lost or stolen. With inland marine coverage, you will compensate for all damage and losses. It also works if the value exceeds the shipper’s declared limit value. It means you won’t have to pay additional customs duties or tariffs, keeping the pet food’s prices competitive.
4. Commercial Auto Coverage
With the rising number of road accidents, consider protecting your commercial vehicle. Auto commercial insurance covers the vehicle fleet and driver’s injuries in the event of accidents. You can seek compensation for bodily injuries, liability claims, medical bills, and vehicle damage. Similarly, it will also cover any costs related to lawsuits that might arise if the negligent party takes the case to court. In case of damage to pet food during the accident, auto insurance might offer compensation for it as well.
5. Equipment Breakdown Insurance
Whether you are mixing proteins to create dough or producing dry kibble – pet food manufacturing happens in extreme pressure and high temperatures. You have to make die-cut holes, pass them through a dryer, and spray it with vitamins and minerals. In all this, an equipment breakdown can lead to substantial losses because all raw material will go to waste. At the same time, you have to spend additional money on repairs. Fortunately, equipment breakdown insurance covers costs that arise due to accidental breakdown. Likewise, it covers all the repair costs and potential damage costs.
6. Product Liability Insurance
Although pet food manufacturers ensure optimal quality, product liability still exists. After all, you never know when and how a third-party faces consequences because of your product. If someone’s pet becomes sick after consuming the pet food, you will have to cough up money on veterinary costs. So, why not protect your business against these compensatory damages? Product liability insurance covers your financial responsibility for injuries to the third-party. It would compensate for all economic damages, attorney fees, and court costs.
7. Worker’s Compensation Insurance
As a pet food manufacturer, you may not realize that a pet food factory can be a dangerous place for your employees. They have to work with bulky machinery that uses high pressure and intense heat. Therefore, your employees are always at a risk of burns, slips, and repetitive motion injuries. Above all, they work with large amounts of grains and other pet food ingredients that can lead to respiratory illnesses. If you want to ensure employees’ wellbeing, get worker’s compensation insurance. It would offer compensation for all accidents and illnesses that happen in the workplace. Hence, ensuring the workers get medical care and income replacement during their sick leave.
Undoubtedly, a lot of effort goes into establishing and running a business. You might think of pet manufacturing as a less risky business comparatively, but one can never calculate risks. Thus, it is best to seek insurance and safeguard your company against potential losses. Delve into different types of insurance plans and opt for the one that aligns with your business needs.