THE DATA FRONT

16 | Label News
Label industry gains specialist insurer
Julie McGibbon and Lisa Jefferies have launched a
bespoke insurance offering specifically for label printers
LJM Partnership LLP launches bespoke
insurance for UK converters
Commercial insurance specialist LJM Partnership LLP has
launched a bespoke insurance offering specifically for label
printers. ‘Insurers in this sector need to offer a service which
reflects the needs of label printers, whose needs are different
to commercial label printers,’ says Julie McGibbon, partner at
LJM. ‘In the UK, for example, the financial constraints facing
label converters include the impact of the rising value of the
Euro on the cost of raw materials, without, in most instances,
the opportunity to pass those costs on to customers. This
means converters’ margins are continually being squeezed.’
‘Insurance premiums are a direct cost, and it is critical that
any company offering specialist insurance gets to understand
a label converter’s business, their attitude to risk, your buying
strategy and objectives,’ adds LJM partner Lisa Jefferies. ‘This
helps to tailor a package that reflects the real movements in the
market.’
LJM says label converters need to look for an industryspecific
package of benefits including: health and safety
compliance and management systems; human resource
consultancy; management systems and employment law
support; employment tribunal advice and support; environment
services compliance and control; risk assessment training and
implementation; fixed electrical testing; portable compliance
testing; asbestos surveys; and a 24/7 manned or on-line call
center.
‘You should beware of printing insurance schemes which
provide extensions of cover irrespective of whether or not you
need them – you should not pay for what you don’t need,’
cautions McGibbon. ‘Insurers should also keep abreast of the
labels industry and keep offerings updated with covers that are
relevant and offer added value.’
LJM says the credit crunch has certainly changed the
insurance landscape: ‘It’s no secret that most label converters
have had to look at their direct costs and will probably have
compromised on adding additional machinery to their assets,’
notes Lisa Jefferies. ‘We are well aware that the machinery
supply industry is seeing a 40 percent reduction in activity as
printers look to refurbish or retrofit to existing machinery. Either
way, there is an increased expectation on the performance of
machinery which may become more susceptible to breakdown.
This cover is, in fact, available through our insurance offering
but is probably rarely considered.’
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