Risk & Business Magazine CMW Spring 2017 | Page 30

SUPPLY CHAIN
A Different Way To Protect Your
Inventory Through The Entire
Supply Chain
F
or any business that imports,
distributes, or exports, there
is a concern over ensuring
that goods are protected
until they make it to their
final destination. For businesses with
operations that involve the full chain of
production — from raw materials and
production to shipping and warehousing
— a single, all-encompassing insurance
policy might be the best solution to
safeguard the value of the inventory for
the entire duration of its travel. Rather
than purchasing separate policies such as
30
marine cargo, inland transfer, and stock
and business interruption, businesses
can purchase “Inventory” or “Stock
Throughput” insurance from a single
provider. This type of policy allows for
seamless protection throughout the
supply chain, beginning from the raw
materials purchase and extending to the
final inventory of completed products, no
matter where in the world they start and
end their journey.
The major benefits of consolidating the
risks under such a global policy includes
more effective risk management, the
potential for better pricing and lower
deductibles, as well as a smaller chance of
a serious interruption in business should a
loss occur.
Inventory/Stock Throughput policies
offer a broad range of coverage to protect
your assets throughout the supply chain.
Some coverages that can be included are
highly tailored to the unique risks facing
companies in British Columbia (BC).
EARTHQUAKE
One key coverage type for businesses with