From plush animals and plastic figurines to electronic games and STEM kits, toy manufacturing is a high-stakes industry in California. But behind every smiling child is a company navigating strict safety laws, product recalls, and production risks. That’s where toy manufacturing insurance comes in—offering essential coverage to defend your business from liability claims, equipment breakdowns, and costly interruptions.
Why Toy Manufacturers in California Need Insurance
California has some of the strictest toy safety regulations in the country. A single design flaw or packaging oversight can lead to recalls, lawsuits, or injuries. Whether you’re crafting eco-friendly wooden toys or tech-driven gadgets, the right insurance ensures you’re covered from concept to consumer—keeping your operations compliant and protected.
Key Risks in Toy Manufacturing
Product liability from choking hazards, sharp edges, or toxic materials
Equipment breakdowns halting production lines
Employee injuries from moulding, painting, or assembly
Fire or water damage to inventory or prototypes
Costly recalls or regulatory fines due to non-compliance
Lawsuits related to misleading advertising or copyright infringement
Core Coverages for Toy Manufacturers
1. Business Owner’s Policy (BOP): Combines general liability, commercial property, and business interruption into one convenient policy tailored for small to mid-sized manufacturers.
2. General Liability Insurance: Covers third-party claims like injuries caused by your toys or damages during transport and distribution.
3. Product Liability Insurance: Crucial for toy makers—protects against claims of injury, choking, or material defects, especially for children’s products.
4. Workers’ Compensation Insurance: Mandatory in California, this protects your business from costs related to on-the-job injuries.
5. Commercial Auto Insurance: Covers delivery vans and vehicles used to transport raw materials or finished products.
6. Equipment Breakdown Insurance: Covers sudden failure of moulding machines, 3D printers, or packaging systems.
7. Surety Bond Insurance: Required for large contracts with retailers, wholesalers, or government programs.
What Types of Toy Products Are Covered?
Educational and STEM kits
Plush and stuffed animals
Wooden toys and puzzles
Electronic games and talking dolls
Action figures and collectibles
Ride-on and outdoor toys
Baby and toddler products
Benefits of Toy Manufacturing Insurance
Defends your business against child injury lawsuits
Helps recover from product recalls or safety investigations
Ensures compliance with California’s CPSIA and ASTM standards
Covers damages from theft, vandalism, or natural disasters
Builds trust with retailers and consumers alike
Protect Your Toy Brand with Confidence
You bring imagination to life—don’t let risk put your business at stake. With the right toy manufacturing insurance, you can focus on what you do best: creating safe, joyful products for kids across California and beyond.