When people enter the beer business and start brewing beer at their very own brewery, it's not all that common for them to assume they won't need craft brewery insurance coverage—instead, they plan to be extra cautious so there won't be any situations that could result in legal action being taken against them, or that will result in losses they may not be able to financially recover from. If it was that simple, no one would need Calgary brewery insurance, but in reality, it's just not that simple.
Regardless of how careful you are, there are some scenarios that are unavoidable and could result in major financial setbacks that could spell the end of your business if you don't have the support of the right Calgary brewery insurance coverage. With the experienced brokers at Krywolt Insurance on your side, you can get the best insurance for your Canadian brewery that fits your unique coverage needs and lets you rest easy at night knowing you'll be able to receive insurance compensation in the event of an insured peril.
Property coverage is an essential part of any commercial insurance package. If your commercial facility, equipment or product was damaged or destroyed, it would cost a lot to get everything restored or replaced, and Calgary brewery insurance gives you the financial support you need to get your business operating again as soon as possible.
A brewery isn't the type of business you can operate from any random location—you need a dedicated facility that is designed to accommodate your unique brewing process, with all the equipment and storage space that entails. So what happens if your building is severely damaged or outright destroyed by something like a fire or natural disaster? If you have Calgary brewery insurance, you have the necessary commercial property insurance to get financial assistance from your insurance provider to deal with the high cost of building restoration and equipment replacement, and you may also be able to receive compensation for product and stock inventory that was destroyed along with the building.
If you’re in the brewery industry, you need specialized, industrial-grade machinery and equipment in order to produce beer and other similar beverages. But like any other type of machinery, your brewing equipment is vulnerable to sudden breakdowns and mechanical failures that could leave you unable to meet your contractual obligations and keep revenue coming in. If you have equipment breakdown coverage as part of your Calgary brewery insurance package, you'll be able to get the situation resolved fast and get back to brewing. If your equipment is damaged in a fire, for example, then the replacement cost is covered under your commercial property insurance. Equipment breakdown insurance, on the other hand, gives you the funds necessary to handle repair or replacement expenses should your equipment be damaged or rendered unusable for reasons such as power surges, motor failure and operator error.
While the name of this insurance coverage can be confusing, especially if you only ship your products over land via trucks or trains, that's actually exactly what inland marine insurance coverage is for. If you move cargo overseas, whether it's by boat or airplane, you need marine insurance instead. Inland marine insurance covers products such as beer while they are being shipped in a truck or on a train, as well as during the period of time when they are temporarily warehoused by a third party such as a transport company. It exists to prevent financial losses in the event that your product is destroyed or stolen after it leaves your facility and before it is delivered to your customer or distributor.
Many business owners in the beer industry assume they'll never need to recall a product because they brew a superior beer and take care to avoid any issues that could lead to a recall, but the fact is that product recalls are very common. They can and do happen to even the most careful and conscientious brewers—and the associated costs can be disastrous, from the expenses of removing the product from retailers to notifying the general public. Product recall coverage on your Calgary brewery insurance will offer different types of insurance coverage and compensation based on your insurance provider, but generally speaking, it offers you financial assistance with the costs mentioned above, as well as compensation for the contaminated product and potentially coverage that you can use to rehabilitate the product if that's a possibility.
Liability coverage on your Calgary brewery insurance applies to the costs of litigation should you be sued for an insured reason. Depending on the type of liability insurance you have, it can cover costs such as legal mediation, attorney fees, court fees, settlement costs and more.
Commercial general liability (CGL) is a key piece of coverage for any craft brewery insurance program. If you are sued by someone who is alleging that you or your employee caused third-party property damage, third-party bodily injury or personal harm, your commercial general liability insurance is the part of your food processing insurance that will cover settlement costs, legal defense fees and more, along with settlement costs should you be found liable for causing third-party damage or injury.
For example, if a prospective beverage distributor visits your commercial property to see how you operate and happens to injure themselves when they slip on a wet, freshly-mopped floor, they could choose to bring legal action against you to recover medical costs and other settlements like compensation if they lost income as a result of being unable to work due to their injury. In that type of scenario, the CGL insurance portion of your Calgary brewery insurance would cover liability related costs up to the coverage limits on your policy.
As a specialized type of commercial general liability coverage, product liability insurance is applied to costs that are related to harm that has allegedly been caused by the products you manufacture. It could include coverage for manufacturing or design defects that lead to injury or illness, inaccurate or misleading labels, failure to comply with advertising regulations, or failure to sufficiently warn consumers about potential hazards that could arise from using your products. For example, if you mislabel the alcohol content of one of your brews, you could be liable for causing harm, and you could also be subjected to regulatory fines.
Any business that brews beer for sale needs the protection against financial losses that is afforded by Calgary brewery insurance. That includes:
Like most types of business insurance in Canada, Calgary brewery insurance is not required by the government. However, that doesn't mean you can operate a brewery without it. Most business owners in the beer industry don't have the funds available to deal with major expenses like building restoration following a fire. It's important to keep in mind that the cost of litigation and settlements can easily exceed a million dollars. With Calgary brewery insurance, you can get financial help to deal with those costs and get your business back on track.
But it's not just about coverage for liability and property damage expenses. The fact is that many suppliers, distributors, transporters and property leasing companies will simply refuse to do business with you if you can't provide proof of insurance coverage. That means you'll be forced to walk away from contracts that are lucrative or necessary for your business operations, leaving them to be snapped up by your competitors.
That's easy! Just give the friendly brokers at Krywolt Insurance a call at 403-879-8660. We'll start by getting to know more about your unique business operation, so we can recommend the perfect insurance policy for your Calgary brewery insurance. While we stand behind our Canadian beer industry, you produce the award-winning beer that keeps casual craft beer enthusiasts happy!