Quite a few measures can be taken to minimize or reduce the amount of premium payable on policies such as:
- Additional security measures
- Automatic fire extinguishers
- Training your staff to safely operate the machinery or raw material
- Regularly maintaining your workplace
- Find an insurer who knows your field well
Case on Premium Cost of Factory & Warehouse Insurance
Aggarwal Steels Pvt. Ltd. is a med sized manufacturing business now participating in multiple public sector and private projects. It also boasts one of the most modern state of the art steel manufacturing plants in Delhi NCR region.
Though around five years back the situation wasn’t as neat and niche as it is now, when Mr. Ramakant Aggarwal, father of the current MD and CEO Mr. Arun Aggarwal was at the helm. This is not the only steel manufacturing plant in the area, yet while discussing insurance renewal with the advisor Mr. Aggarwal found out that he was paying the lowest premium for the factory & warehouse insurance cover taken in the same area.
The reason behind it, wasn’t a discount scheme though, as explained by the advisor, it was because this was the most modern plant, and boasted some of the best security features that other counterparts lacked. “For example,” the advisor said, “automatic fire extinguishers installed in strategic places, with first aid boxes etc. coupled with the highly trained staff, makes your plant less risky, thus lower premium.”