Machine Shop Insurance (Class 3632)
Machine Shop Insurance (Class 3632)
Precision Protection for California’s Machining & Fabrication Businesses
California’s machine shops are the heartbeat of manufacturing — producing precision-engineered components for industries ranging from aerospace and automotive to construction and medical technology. But behind every finely milled part is a complex network of machinery, materials, and manpower — all exposed to significant operational risks.
At Metal Shop Insurance, we specialize in providing comprehensive Machine Shop Insurance (Class 3632) coverage that protects your equipment, employees, property, and income against the unique hazards of precision machining. Whether you’re operating CNC machinery, lathes, grinders, or milling stations, our tailored policies ensure your business stays protected and profitable.
Machine Shop Insurance (Class 3632)
Precision Protection for California’s Machining & Fabrication Businesses
California’s machine shops are the heartbeat of manufacturing — producing precision-engineered components for industries ranging from aerospace and automotive to construction and medical technology. But behind every finely milled part is a complex network of machinery, materials, and manpower — all exposed to significant operational risks.
At Metal Shop Insurance, we specialize in providing comprehensive Machine Shop Insurance (Class 3632) coverage that protects your equipment, employees, property, and income against the unique hazards of precision machining. Whether you’re operating CNC machinery, lathes, grinders, or milling stations, our tailored policies ensure your business stays protected and profitable.
Why Choose Metal Shop Insurance for Your Machine Shop
At Metal Shop Insurance, we’re not general agents — we’re industrial insurance specialists. We’ve built our reputation by helping California’s machine shops and metal fabrication businesses protect themselves from industry-specific risks.
Why We’re the Trusted Choice:
Deep Industry Knowledge: We understand the day-to-day challenges of machining and fabrication businesses.
Tailored Coverage: Every policy is designed around your exact operations — no one-size-fits-all plans.
Top-Rated Carriers: We work with leading insurance providers known for manufacturing and industrial coverage.
Premium Savings: Our market relationships allow us to secure competitive rates for small and large shops alike.
Risk Reduction Programs: We help clients implement OSHA safety protocols, lockout/tagout procedures, and machine guarding systems to lower insurance premiums.
Fast Claims Response: In manufacturing, time is money — we ensure quick claim resolutions to minimize downtime.
Your precision work deserves equally precise protection. With Metal Shop Insurance, you get coverage that understands your machines, your employees, and your bottom line.
Why Choose Metal Shop Insurance for Your Machine Shop
At Metal Shop Insurance, we’re not general agents — we’re industrial insurance specialists. We’ve built our reputation by helping California’s machine shops and metal fabrication businesses protect themselves from industry-specific risks.
Why We’re the Trusted Choice:
Deep Industry Knowledge: We understand the day-to-day challenges of machining and fabrication businesses.
Tailored Coverage: Every policy is designed around your exact operations — no one-size-fits-all plans.
Top-Rated Carriers: We work with leading insurance providers known for manufacturing and industrial coverage.
Premium Savings: Our market relationships allow us to secure competitive rates for small and large shops alike.
Risk Reduction Programs: We help clients implement OSHA safety protocols, lockout/tagout procedures, and machine guarding systems to lower insurance premiums.
Fast Claims Response: In manufacturing, time is money — we ensure quick claim resolutions to minimize downtime.
Your precision work deserves equally precise protection. With Metal Shop Insurance, you get coverage that understands your machines, your employees, and your bottom line.
Comprehensive Coverage for Machine Shops (Class 3632)
At Metal Shop Insurance, we tailor policies specifically for WCIRB Class 3632 Machine Shops, providing a blend of protection for your tools, staff, and operations.
General Liability Insurance
Shields your business from third-party injury or property damage claims. If a client or vendor is injured while visiting your shop — or if a defective part you manufactured causes damage — this coverage handles legal fees, settlements, and court costs.
Workers’ Compensation Insurance
Protects your employees in case of work-related injuries. Common machine shop claims include lacerations, burns, and repetitive strain injuries. Workers’ Compensation pays for medical bills, lost wages, and rehabilitation costs — ensuring your team’s safety and your legal compliance in California.
Commercial Property Insurance
Your building, equipment, inventory, and office contents are valuable assets. Property Insurance protects them against fire, vandalism, theft, and natural disasters. Add-ons can cover replacement cost valuation, debris removal, and off-site storage facilities.
Equipment Breakdown Insurance
When your CNC machine or milling equipment fails due to mechanical or electrical issues, Equipment Breakdown Insurance covers the repair or replacement — along with lost income during downtime. This coverage helps you avoid extended production interruptions and contract penalties.
Product Liability Insurance
If your machined parts are defective or fail after installation, Product Liability Insurance covers legal claims for bodily injury or property damage. This is essential for machine shops producing precision parts for industries like aerospace, medical, or automotive manufacturing.
Business Interruption Insurance
A fire, flood, or equipment breakdown can halt operations — but your expenses don’t stop. Business Interruption Insurance replaces lost income, pays ongoing expenses, and helps your business recover quickly.
Inland Marine Insurance
Protects mobile tools, dies, molds, and equipment while they’re in transit or temporarily stored off-site. Whether you’re delivering finished products or moving equipment between locations, Inland Marine coverage ensures your property is protected.
Cyber Liability Insurance
Modern machine shops rely heavily on automation and design software. Cyber Liability Insurance protects against cyberattacks, ransomware, and data breaches — safeguarding both your digital operations and customer data.
Employment Practices Liability Insurance (EPLI)
Covers claims made by employees for discrimination, wrongful termination, or harassment. With many machine shops employing skilled labor and technicians, EPLI ensures legal protection against workforce-related disputes.
Commercial Auto Insurance
If your business owns or uses vehicles for transporting parts, materials, or staff, Commercial Auto Insurance covers liability, collision damage, and theft for business vehicles.
Comprehensive Coverage for Machine Shops (Class 3632)
At Metal Shop Insurance, we tailor policies specifically for WCIRB Class 3632 Machine Shops, providing a blend of protection for your tools, staff, and operations.
General Liability Insurance
Shields your business from third-party injury or property damage claims. If a client or vendor is injured while visiting your shop — or if a defective part you manufactured causes damage — this coverage handles legal fees, settlements, and court costs.
Workers’ Compensation Insurance
Protects your employees in case of work-related injuries. Common machine shop claims include lacerations, burns, and repetitive strain injuries. Workers’ Compensation pays for medical bills, lost wages, and rehabilitation costs — ensuring your team’s safety and your legal compliance in California.
Commercial Property Insurance
Your building, equipment, inventory, and office contents are valuable assets. Property Insurance protects them against fire, vandalism, theft, and natural disasters. Add-ons can cover replacement cost valuation, debris removal, and off-site storage facilities.
Equipment Breakdown Insurance
When your CNC machine or milling equipment fails due to mechanical or electrical issues, Equipment Breakdown Insurance covers the repair or replacement — along with lost income during downtime. This coverage helps you avoid extended production interruptions and contract penalties.
Product Liability Insurance
If your machined parts are defective or fail after installation, Product Liability Insurance covers legal claims for bodily injury or property damage. This is essential for machine shops producing precision parts for industries like aerospace, medical, or automotive manufacturing.
Business Interruption Insurance
A fire, flood, or equipment breakdown can halt operations — but your expenses don’t stop. Business Interruption Insurance replaces lost income, pays ongoing expenses, and helps your business recover quickly.
Inland Marine Insurance
Protects mobile tools, dies, molds, and equipment while they’re in transit or temporarily stored off-site. Whether you’re delivering finished products or moving equipment between locations, Inland Marine coverage ensures your property is protected.
Cyber Liability Insurance
Modern machine shops rely heavily on automation and design software. Cyber Liability Insurance protects against cyberattacks, ransomware, and data breaches — safeguarding both your digital operations and customer data.
Employment Practices Liability Insurance (EPLI)
Covers claims made by employees for discrimination, wrongful termination, or harassment. With many machine shops employing skilled labor and technicians, EPLI ensures legal protection against workforce-related disputes.
Commercial Auto Insurance
If your business owns or uses vehicles for transporting parts, materials, or staff, Commercial Auto Insurance covers liability, collision damage, and theft for business vehicles.
Understanding the Unique Risks Faced by Machine Shops
Machining is a high-skill, high-risk industry. From cutting and shaping metals to producing fine-tolerance parts, machine shops rely on specialized tools and expensive technology that must operate safely and efficiently. However, with precision comes exposure — and even small disruptions can cause big financial setbacks.
Common Risks Include:
Machine Breakdown: CNC or manual lathes, presses, and milling equipment are the backbone of production. A single failure can halt work and delay contracts.
Employee Injury: Operating machinery, handling sharp tools, and lifting heavy metal components create significant workplace hazards.
Product Liability: A machining error could result in defective parts, leading to lawsuits or contract losses.
Fire and Explosion: Cutting fluids, flammable coatings, and heat from equipment create constant fire risks.
Theft or Vandalism: Expensive tools, molds, and raw materials make your facility a target for theft.
Data and Software Risks: CAD/CAM design files and automated systems are vulnerable to cyberattacks or system crashes.
Environmental Exposure: Improper disposal of oils or coolants can lead to fines and environmental liabilities.
That’s why Machine Shop Insurance (Class 3632) is not just a regulatory requirement — it’s a smart investment that ensures your business’s continuity and compliance.
Understanding the Unique Risks Faced by Machine Shops
Machining is a high-skill, high-risk industry. From cutting and shaping metals to producing fine-tolerance parts, machine shops rely on specialized tools and expensive technology that must operate safely and efficiently. However, with precision comes exposure — and even small disruptions can cause big financial setbacks.
Common Risks Include:
Machine Breakdown: CNC or manual lathes, presses, and milling equipment are the backbone of production. A single failure can halt work and delay contracts.
Employee Injury: Operating machinery, handling sharp tools, and lifting heavy metal components create significant workplace hazards.
Product Liability: A machining error could result in defective parts, leading to lawsuits or contract losses.
Fire and Explosion: Cutting fluids, flammable coatings, and heat from equipment create constant fire risks.
Theft or Vandalism: Expensive tools, molds, and raw materials make your facility a target for theft.
Data and Software Risks: CAD/CAM design files and automated systems are vulnerable to cyberattacks or system crashes.
Environmental Exposure: Improper disposal of oils or coolants can lead to fines and environmental liabilities.
That’s why Machine Shop Insurance (Class 3632) is not just a regulatory requirement — it’s a smart investment that ensures your business’s continuity and compliance.
- FAQs
Common Insurance Questions for Metal & Manufacturing Businesses
It covers your facility, machinery, employees, and liability exposures. Standard policies include General Liability, Property, Workers’ Compensation, Equipment Breakdown, and Product Liability coverage — with optional add-ons like Cyber, EPLI, and Inland Marine Insurance for full protection.
Premiums depend on payroll, annual revenue, safety record, and equipment value. Small shops may pay around $3,000–$8,000 annually, while larger facilities can exceed $20,000, depending on the scope of coverage. Metal Shop Insurance helps reduce costs through risk-based discounts.
Because a defect in a machined part can cause property damage or injury after installation, leading to expensive lawsuits. Product Liability Insurance ensures your business is financially protected if your products are alleged to be faulty or unsafe.
Yes — Equipment Breakdown Insurance and Property Coverage can include CNC machines, robotic arms, and automated systems. These policies pay for repair or replacement after a covered breakdown, electrical failure, or mechanical issue.