The manufacture and sale of any product is a complicated business and getting the right insurance can be equally complex. You need coverage for your whole production process from the raw materials right through to delivery of the final product. And there’s a huge potential for things to go wrong at any stage of the process. The traditional way of protecting against those losses and mitigating the risks is to buy different types of insurance for all the different stages of production and distribution.
However, this approach can be expensive. Plus it can be difficult to manage with separate deductibles for each policy, various premiums as well as a variety of insurers. And when coverage is split into disparate areas, there’s the opportunity for things to be missed and gaps in protection to creep in.
Stock throughput coverage is predominantly written at Lloyds of London. Axis Insurance Managers enjoys a long term connection with Lloyds and the London market and we enjoy exceptionally good relationships with writers of stock throughput insurance in both the UK and Canada.
Benefits of Stock Throughput Insurance
- No Shipment or location reporting requirements
- One single policy rather than multiple policies
No Time Restriction for how long goods are in Storage
Competitive Stock Deductibles
Beneficial Stock Limits/Valuation
- Cover on an “any one location” basis avoiding named location including third party locations
- Replacement Cost plus Freight/Duty Charges/plus 10% or Selling Price
When does coverage stop?
- When delivery is made to your customer
“All Risks” wording — broader wording than a Property Policy
Seamless cover, avoiding gaps in cover
- Stock and transit in one single policy
- Cover on a “cradle to grave” basis
- Low deductibles — including Earthquake
Simplification of claims settlement
- One policy to refer to in the event of a claim
- One of the highest risks associated with cargo actually occurs between these two sections: when the cargo is being loaded, offloaded, or moved from storage to transit. This loss scenario typically results in an argument amongst insurers as to which carrier is responsible at the moment the merchandise is damaged or stolen. This often stalls or complicates claims payments.
Interested in more?
Download this PDF for more information.