What types of protections do lumber policies make available?
Lumber policies typically come with many different coverages, which allows the policies to give robust and varied protections. Most of the coverages are either property or liability protection.
Property protections normally safeguard against risks that involve loss of or damage to physical property. Some property coverages that lumber yards often get are:
- Building Coverage, which might protect one or more buildings on a lumber yard's property
- Contents Coverage, which might protect boards, saws, machinery and other items on a yard's property
- Equipment Breakdown Coverage, which might protect essential saws and machinery if it breaks down
- Business Income Coverage, which might protect against prolonged revenue losses that a disaster causes
Liability protections normally safeguard against risks where a business could be sued. Some liability coverages that lumber yards often get include:
- Premises Liability Coverage, which may extend to accidents that occur on a lumber yard's property
- Product Liability Coverage, which may extend to accidents involving sold materials or products
- Employment Practices Liability Coverage, which may extend to discriminatory claims filed by employees
- Commercial Auto Liability Coverage, which may extend liability protection to yard-owned trucks
- Umbrella Coverage, which may afford additional liability coverage as a secondary protection
Do lumber yards need inland marine coverage?
Inland marine coverage normally insures equipment and supplies as they're transported between locations. The coverage probably wouldn't apply if lumber is moved across the yard, but it probably would apply if lumber or other goods are transported to another facility or worksite.
Lumber yards might not be required to carry inland marine coverage, but the protection is often highly recommended. Inland marine may be necessary to insure loads that are transported to/from a lumber yard's facility.
Do lumber yards need workers' compensation coverage?
Workers' compensation generally insures against workplace injuries, which certainly are a risk when employees are moving tall stacks of boards. State law requires that most businesses with employees carry the coverage.
Assuming the coverage is needed, lumber yards might procure workers' compensation coverage in two ways. Sometimes the coverage is included with a lumber yard policy. Sometimes the coverage isn't offered by a lumber yard policy, but instead must be purchased separately. Even when purchased separately, workers' compensation policies are easy to set up.
How much are premiums for lumber yard policies?
Lumber yard policy premiums vary because the premiums are calculated according to many different factors. A lumber yard's location, the scope of products, annual revenues, equipment and recent insurance claim history are some of the details that can impact price.
An independent insurance agent can help lumber yards quickly and accurately compare insurance policies' coverages and premiums. Independent insurance agents are free of any obligation to promote a certain insurance company and are instead free to recommend policies irrespective of which company is offering them.
How can Massachusetts yards get lumber yard insurance?
For help insuring a Massachusetts lumber yard, contact the independent insurance agents at Scotti Insurance Agency. Our agents will work closely with you to determine what coverages your yard needs, and then we can recommend the best available policies that meet those coverage needs. With our assistance, you can have confidence in the lumber yard insurance policy that you choose.
