Insurance Considerations for an Explosive Supplier
Posted on: 28 October 2017
Collecting and delivery of explosives can be a daunting task especially when you are not aware of the regulations and standards of the industry. As an explosive supplier, you are likely to encounter accidents that may be a threat to your operations. To help cover for the risks and accidents that may arise during supply, you need to get proper insurance cover. However, what are the insurance requirements for an explosive supplier? Here are some of the things that you need to take into consideration as an explosive supplier in Australia:
When considering to get an insurance cover for your explosives, be keen on what the insurance policy must cover. As an explosive supplier ensure that for category 2 load of class 1 explosives, the insurance provides at least a cover of $2.5 million. On the other hand, for the loads in category 3 and the placard loss category applying to second class through to class 9, the insurer gives a cover of at least $5 million. Further, you have to ascertain that the policy covers personal injury, damage to property or any damage that may arise from the supply of explosives and death when on duty. The best cover for an explosive supplier should be able to cover for any costs that arise from cleaning activity of federal government precipitated by explosives. The costs, in this case, may include any leakage or even spills arising when supplying the explosives.
Check on Policy Limitations
Given that the explosive supply business is a risky one, there are chances of extremities arising in case of disaster. It is important for any explosive supplier to check on the policy restrictions that may exist. Some of the limitations may apply to the type of explosive, the state of explosive or even the class. It is advisable to know the applicable limitations that apply to help you cover any damage that may arise.
The Applicable Time for Insurance
Whenever you are transporting explosives as a supplier, there is certain insurance that you must provide. The insurance cover license and registration of the vehicles that are used in the transportation of the explosives. The first insurance is the category 2 or 3 loads of class 1 explosives. When transporting class 2-9 explosives you must also provide an insurance. It is also necessary to note that your insurance has the date of application for the new license and the expiry date. The expiry date captures the date when you will renew an existing license.
Contact a company like Rock On Ground for more information and assistance.Share