As a manufacturer, how do you quantify your true cost of risk? For example, if you are faced with a recall, how do you calculate your loss of reputation or market share? It is difficult, at best, to quantify this scenario. In contrast, other components of your cost of risk are easily identified, such as insurance premiums, or lost production costs caused by downtime of a custom piece of machinery.
Your customers expect you to have safe and reliable products, and failing to meet these expectations can lead to huge financial losses. If one of your products harms a customer or other stakeholder in any way, they can sue your business, leading to costly legal fees and settlements that can easily reach six figures.
Companies need safe and working equipment to operate efficiently and generate revenue. In fact, some organizations rely exclusively on a few pieces of equipment to run their entire business. Following a breakdown, major losses can occur, and many organizations turn to equipment breakdown insurance (sometimes referred as boiler and machinery insurance).
In today’s business climate, organizations are expected to extend credit to their customers, as it enhances purchasing power and creates opportunities that may not have been available otherwise. However, offering credit is a balancing act for most businesses, as just one late payment or customer insolvency can put stress on an organization’s cash flow and profitability.
Accounts receivable are often a business' largest asset. If your customers are unable to pay what they owe, potential credit losses can present a substantial threat to your business. Trade credit insurance -- also known as credit insurance or export credit insurance -- is a form of insurance that transfers risk for businesses seeking to protect their accounts receivable against nonpayment.
It is a generally accepted fact that the use of cell phones and other electronic devices while driving presents a distraction that greatly increases the chance of an accident. Unfortunately, what too many people fail to take into consideration is how distracting these devices can be in other situations.
Among the hazards you face as a manufacturer, combustible dust is one of the most damaging. Dust fire and explosions in industrial facilities result in hundreds of fatalities and injuries. These explosions can also cause other significant losses, including untold amounts of property damage, remediation costs and lost revenue.
Cyber threats top the list of worries from corporate leaders
Corporate optimism about short term prospects rose to record heights this year, according to PwC’s annual CEO survey.