OEM & Contract Foam Manufacturing Insurance

• Customer profile (OEMs, Tier 1 suppliers, national retailers, construction clients, etc.)
• Product end use and whether it is safety-critical or regulated
• Manufacturing vs converting (foaming, moulding, cutting, lamination, CNC profiling, kitting)
• Batch control and traceability (records, labelling, retained samples where relevant)
• Fire protection and site segregation (stock vs production vs packaging)
• Machinery criticality and lead times for repair / replacement
• Contract terms (liability limits, recall clauses, penalties, indemnities)
• Resilience plan (outsourcing capacity, alternative suppliers, overtime capability)

Foam stock can be a major driver of fire severity. Contract manufacturers often hold raw materials, packaging, finished goods and WIP (work in progress) for multiple customers at the same time — sometimes including customer-owned materials. Insurance must reflect the true replacement cost of buildings, plant and contents, and the true peak stock levels throughout the year.

• Buildings and contents at declared reinstatement value
• Stock cover for raw materials, WIP and finished foam products
• Customers’ goods / property in your care (where required)
• Seasonal stock increases and peak stock declarations
• Specified perils vs all risks options (depending on market appetite)

If your customers require you to store their materials, moulds or components, it is critical to confirm whether those items are included within your “stock” definition or whether you need a separate customers’ goods extension with its own limit.

Your premises and operations create third-party exposures: visitors, contractors, vehicle movements, loading bays, and potential for accidental damage or injury. Employers’ Liability is also a legal requirement in most cases where you employ staff in the UK.

• Public liability for injury and property damage arising from your premises/operations
• Employers’ liability to protect against employee injury/illness claims
• Contractors working on site and hot works permit controls
• Forklift operations and yard safety management
• Off-site visits and customer audits (where relevant)

We’ll ensure the policy reflects your true operations — including maintenance activity, site visitors, and any on-site customer audits that could increase footfall and operational interaction.

Foam production and conversion lines are equipment-heavy: mixing heads, metering, conveyors, curing ovens, CNC cutting, profiling machines, extraction systems, compressors and chillers. If a critical machine fails, an OEM contract can be at risk. Machinery breakdown insurance can cover sudden and unforeseen damage, and can be paired with machinery BI where available.

• Machinery breakdown for key production and conversion plant
• Electrical/mechanical breakdown extensions (subject to insurer terms)
• Optional machinery business interruption for downtime
• Statutory inspections where required
• Plant hired in to maintain production (subject to cover)

We’ll help you identify your “single points of failure” and make sure underwriters understand the true downtime impact if those assets fail.

• Chargebacks for late delivery or service failure (usually not insurable)
• Product liability claims for injury/property damage (insurable subject to terms)
• Recall costs for withdrawing affected products (insurable if recall cover arranged)
• Pure rework costs with no insured trigger (often limited / not covered)
• Customer line stoppage without insured damage (generally not covered)
• Business interruption following insured property damage (insurable under BI)
• Contractual indemnities beyond negligence (may be restricted)
• Quality disputes and warranty claims (often excluded)

• Specialist insurer access for higher fire-load and technical manufacturing risks
• Support presenting OEM supply exposures without over-declaring uninsurable items
• Guidance on limits, indemnity periods and contract-driven requirements
• Claims support and insurer negotiation when incidents happen
• Clear explanation of exclusions, conditions and warranties before you buy
• Fast quotes and practical advice for manufacturers and converters

If you have multiple sites, multiple customer programmes, or a mix of manufacturing and conversion, we can structure a combined policy with clear schedules and appropriate sub-limits so it reflects how you operate.

• 1. Provide key details – sites, turnover, staff, product types, and customer profile
• 2. Risk review – fire protection, layout, stock values, machinery criticality, QA and traceability
• 3. Market approach – we seek competitive terms from appropriate insurers
• 4. Select cover – agree limits, excesses, BI periods and optional extensions (e.g., recall)
• 5. Bind and support – policy documentation issued and ongoing advice available

If you can provide a short process summary, a site plan, and basic fire protection details, you’ll usually receive faster and better-quality quotes.

• Buildings, plant, machinery and stock protection
• Business interruption cover to support cashflow after insured damage
• Product liability aligned to OEM and contract supply requirements
• Machinery breakdown options for critical production equipment
• Goods in transit and distribution risk (where relevant)
• Optional recall solutions where contracts require it

We tailor cover to your operation: what you make, how you make it, who you supply, and how quickly you need to recover after an incident. The result is clearer, more relevant protection — and fewer nasty surprises hidden in exclusions.