Tool and die manufacturers play an essential role in California’s industrial economy—creating the dies, jigs, molds, and fixtures that power countless other manufacturing processes. But with precision work comes equally precise risks. Machine accidents, tool malfunctions, defective output, or even minor workplace mishaps can result in severe financial damage. Without comprehensive protection, a single incident could stop production cold.
That’s where tailored tool and die manufacturing insurance comes in—designed specifically for high-precision, high-stakes operations like yours.
Why Insurance Matters in Tool and Die Manufacturing
Every product you produce requires absolute accuracy—and any mistake can mean lost revenue, injured workers, or liability lawsuits. In California, where regulations are strict and production costs are high, staying insured isn’t just smart—it’s business survival. Equipment damage, fires, or third-party claims from faulty components could cost your business thousands if you’re not protected by the right policy.
Core Coverages for Tool and Die Makers
To safeguard your machinery, staff, and reputation, most tool and die businesses rely on a strategic mix of the following coverages:
General Liability Insurance – Covers third-party claims involving bodily injury or property damage, such as a client injury during a plant tour or damage caused by a defective mold. Explore more about this critical protection here.
Business Owner’s Policy (BOP) – Combines property insurance, general liability, and business interruption coverage into one package—ideal for tool shops managing valuable machinery and time-sensitive client jobs. You can explore BOP options here.
Workers’ Compensation Insurance – California requires all employers to carry workers’ comp, especially in machine-intensive environments like tool and die shops. Covers injuries from press machines, metal shavings, repetitive motion, and more.
Commercial Property Insurance – Helps pay for damages to your workshop, CNC machines, computers, tools, and molds due to fire, theft, or natural disasters.
Equipment Breakdown Insurance – Crucial for manufacturers whose operations rely on CNC, EDM, lathes, and other advanced tooling machinery. A breakdown doesn’t just cost repairs—it halts productivity.
Product Liability Insurance – If your die, mold, or tool leads to injury or damages down the supply chain, this coverage can protect against claims or recalls.
Who Needs Tool and Die Manufacturing Insurance?
Whether you’re a niche operation crafting custom tools or a high-output die shop serving multiple industries, your risk exposure is substantial. If you manufacture:
Stamping dies
Injection molds
Casting molds
Cutting tools or jigs
Fixtures and dies for automotive or aerospace
…you need a plan tailored to your machines, workforce, and contracts. Tool and die manufacturing insurance ensures you meet contract requirements, regulatory standards, and customer expectations across California and the USA.
The Cost of Being Uninsured
Without proper coverage, a single equipment failure or employee injury could lead to:
Six-figure liability lawsuits
Downtime losses from machine breakdowns
OSHA fines or California labor penalties
Reputational damage from defective tool claims
A comprehensive policy shields your business from unexpected setbacks so you can keep delivering precision products without compromise.
Why Choose Us for Tool and Die Manufacturing Coverage?
We understand the layered risks faced by tool and die shops—from the cost of high-end equipment to the pressure of flawless execution. Our plans are built for small machine shops, medium-sized manufacturers, and everything in between. Whether you’re running a precision machining firm in Sacramento or a tooling company in Los Angeles, we’ll help craft a custom plan that works for your budget and operational flow.
Want coverage that works as precisely as your machinery? Let us help.
Protect Your Tools, Dies, and Future—Start Today
If your operation is exposed to risk—and it is—you need more than a basic business policy. With our custom tool and die manufacturing insurance, you get tailored protection that evolves with your business.
Get a quote or learn more by visiting us here or reviewing the full spectrum of manufacturer insurance for California.