Financial loss can be caused by many things, including delays and other problems that fall outside the scope of your General Liability Insurance policy. While a General Liability insurance policy will cover many issues, it will not protect you from everything. There are certain things it won’t cover. You may need to purchase additional coverage to ensure you are fully protected against the perils you may be exposed to. Let’s discuss five such things your general liability insurance won’t cover.
- Intellectual Property Coverage
Intellectual property coverage extends to graphic designs, 3D printing, and many digital or media-related materials. These properties are just as valuable as other types of inventory but are typically stored virtually on the cloud or on external hard drives. With more and more research and development processes online, intellectual property coverage is necessary.
- Management Liability for Directors
A management liability policy is necessary to cover the actions of your company’s directors as they perform their duties. If wrongdoing is suspected, an investigation will need to be performed. This policy protects your company against any claims filed against a director during this time.
- Cyber Extortion or System Failures
With more and more activity on the internet, the risk of cyber-attacks, system failures, and data breaches is becoming more commonplace. Insuring your company against these virtual threats requires a specific policy dedicated to all the different types of cyber activity you may be at risk for. Depending on your type of business, your risk of a cyber-attack will vary, as will their threat to your operations.
- Product Recalls
Product recalls are a costly part of doing business. If you have to recall many items, it can financially strap your business to the breaking point. Purchasing a recall policy will help manage the recall costs without impeding or hurting the day-to-day operations of your business. It can also help to cover the loss of sales and lost revenue. While product recalls don’t occur every day, it’s essential to have sufficient coverage.
- Health Products and Their Unique Risks
Life science policies are meant to cover the unique risks associated with health products and devices. Patent issues and user injury are common risks associated with health products and devices. Knowing and understanding the broad scope of the risks related to these products will help you determine what type of policy is needed and the amount of coverage that will be sufficient enough to protect you.
Cover Your Manufacturing Business Against All Risks with RMS Insurance Brokerage
If you have questions about your general liability coverage and other policies you may need to protect your business entirely, contact us today. Our agents at RMS Insurance Brokerage can evaluate your company’s risks and determine which policies will best suit your needs. Our agents understand that every business has unique needs and can help you find the right solution.