The calculator and the quote form below are in Dutch. Prefer to do this in English? Email info@finassverzekert.nl or call 072 - 509 24 56 and we will take it from there.
Work out your own premium with the calculator.
Enter your details; you will receive a proposal within one working day.
We compare the offerings of several insurers
An adviser checks whether the cover suits your activities
A premium indication, not personal advice. Prefer to talk it through? Call 072 - 509 24 56.
In brief
A production line is brought to a halt by a single component. The repair is manageable, the consequences are not: orders that go to a competitor, contracts with delivery penalties, staff who are still paid and semi-finished goods spoiling in the line. You cover that loss with business interruption insurance, and the most important choice there is the indemnity period. It should be based not on the repair time but on the lead time for the scarcest component, and for bespoke machines that is a different figure from standard equipment.
For the machine itself there are two covers that are often confused. Business contents or buildings insurance pays for damage caused by an external peril: fire, storm, water, burglary. If a drive fails through a fracture, short circuit, overheating or an operating error, that damage comes from within and machinery breakdown insurance is needed. Wear, corrosion and deferred maintenance remain excluded there too; that is and remains a business risk.
The third risk leaves your site with the product. Under Article 6:185 of the Dutch Civil Code you are strictly liable as a producer for damage a defective product causes to people or other property, even without blame. That liability runs on for years after delivery and does not stop at your direct customer.
What does insurance for manufacturing businesses cover?
The structure of the cover in three parts, with an overview per situation below.
The basics
Liability
AVB for property damage and injury, BAV for professional errors.
Damage to third parties
Employers' liability
Care, custody and control as an extension
Your business
Assets and continuity
Business contents, goods and lost turnover during downtime.
Business contents at replacement value as new
Goods at cost price
Business interruption or additional costs
If you employ people
Staff
Sickness absence, accidents and the traffic risk.
Continued pay for 104 weeks
Group personal accident
WEGAS for traffic risks
What is covered
Situation
AVB
BAV
Cyber
Injury to a visitor or customer
Yes
No
No
Damage to a client's property
Sometimes
No
No
Financial loss caused by an advisory or calculation error
No
Yes
No
Downtime after a ransomware attack
No
No
Yes
Data breach involving personal data
No
Sometimes
Yes
Damage to property in your care
No
No
No
This overview is general in nature and is not personal advice. What is actually covered, including exclusions, limits and the excess, is set out in the policy conditions and the insurance card (verzekeringskaart) of the insurer; you receive both before you take out cover. Taking out cover without advice? Then read what execution only means for you.
Where things go wrong in practice
Four points that make the difference between a policy that pays out and one that does not.
Match the indemnity period to the lead time
The standard period on business interruption cover is often too short for specialist manufacturing. Work out for each critical machine how long delivery, installation, connection and commissioning take and add the restart period , because a line does not immediately run at full capacity again. Ask your machine supplier to put that period in writing. If the lead time turns out to be longer than your indemnity period, payment stops while the standstill continues.
A recall is separate cover
If a batch turns out to be defective, the cost of tracing, retrieving, destroying and replacing it is not covered by ordinary product liability. That pays for the damage the product causes to others, not for the campaign to take it off the market. There is a recall coverfor that. The value of the defective product itself always remains for your account; that is and remains a quality problem, not an insured loss.
Stock and semi-finished goods are not business contents
Raw materials, semi-finished goods and finished products are insured at cost or manufacturing cost, while machines and installations are at replacement value as new. If your stock rises sharply with the season, report a stock fluctuation, otherwise you are underinsured at the busiest time of the year and the payment will be reduced proportionally. Spoilage through failure of refrigeration or climate control also calls for a separate mention on the policy.
Traceability determines the size of a claim
If you can show for each batch which raw material went into it, who supplied it and where it went, a claim stays limited to the batch concerned. Without those records the problem extends across your whole output for that period. Batch records are therefore not only a quality requirement but the direct limit on your liability, and insurers take them into account at acceptance.
What does your premium depend on?
Nature of the production process — Working with heat, pressure, chemicals, dust or wood weighs more heavily than cold assembly in a clean environment.
Replacement value of the machinery — The replacement value as new of installations and controls forms the basis for the fire and machinery breakdown sections.
Business interruption indemnity period chosen — The longer the period and the higher the gross profit covered, the more heavily this section works through into the premium.
Markets for your products — Supplying the United States or Canada and use in medical or aviation applications increases the liability risk.
Stock value and fluctuation — The average and peak value of raw materials and finished products determine the sum insured and the risk of underinsurance.
Fire prevention and inspections — Sprinklers, compartmentation, electrical inspection and the maintenance regime for the installations all count towards acceptance and rate.
Insurers weigh these details differently. That is why comparing pays off.
How we arrange it
You request a quoteWe take stock of your activities, turnover and wishes.
We compareseveral insurers, on premium as well as conditions.
You receive a proposalWith an explanation of the differences and the exclusions.
We arrange the switchIncluding cancellation, so there is no gap in cover.
Customers rate our service on four aspects: personal service, service delivery, availability and the outcome. The reviews are collected and published by NH1816 and come from customers who have actually taken out a policy with Finass Advies B.V. or reported a claim.
What is the difference between machinery breakdown and business contents insurance?
Business contents insurance pays for damage from an external cause, such as fire, storm, water or burglary. Machinery breakdown covers sudden damage from within: a broken shaft, a short circuit in the controls, overheating or an operating error. Without machinery breakdown cover that second category remains for your account. Wear, corrosion and deferred maintenance are excluded on both policies.
Are the costs of a product recall covered?
Not under ordinary product liability. That covers the damage your product causes to people or other property, not the operation to take the product off the market. Tracing, retrieving, destroying and replacing calls for separate recall cover. The value of the defective product itself remains a business risk in all cases.
How long do I remain liable after delivery?
Considerably longer than the warranty period you agreed with your customer. The strict liability in Article 6:185 of the Dutch Civil Code rests on you as producer and extends to everyone who suffers damage, not just to your direct customer. So note the basis of cover on your policy: with claims made cover it is the moment of the claim that counts, not the moment of delivery.
Is downtime from a breakdown without damage covered?
In principle no. Business interruption follows the physical cover: there has to be covered damage to property, such as fire or machinery breakdown. If production stops because of a power cut at the network operator, a supply problem or a software fault without damage, that is only insured if you have had those causes expressly included.
Finass Verzekert is a trading name of Finass Advies B.V. We advise on and arrange non-life insurance on the basis of an objective analysis of several insurers, and receive commission for this from the insurer, which is included in the premium. You pay no separate advice fee. Before you take out cover, we establish your wishes and needs.
You will find our licence, KvK and Kifid details and our complaints procedure at the foot of every page.
