Though any industry comes with specific dangers, the risks in distribution and warehouse businesses can pose significant problems to both employees and business owners if steps are not taken ahead of time to prevent them. In order to know what you should be watching out for and purchasing insurance coverage for, here are the most frequent risks that your warehouse distribution company may encounter.
Internal and External Security Threats Can Occur
Unfortunately, warehouse security threats can be both internal and external. An example of an internal threat would be employee theft, which can be somewhat mitigated through check-ins and background checks prior to hiring. External threats, which may require security guards, cameras and more, include break-ins and burglary.
Watch Out for Various Types of Damages to Your Goods
Another serious problem many distributors face is the different damages to goods that may occur. These include, but are not limited to:
- Accidents in transit
- Freezer power failures
- Delivery vehicle accidents
Stringent safety procedures and great care in handling the goods is perhaps the best way to avoid these issues. Of course, certain insurance coverage may help cover any damages as well.
No business is entire without risks, and the warehouse distribution industry is no exception. Fortunately, by understanding the most frequent risks in distribution and warehouse businesses, you can begin tailoring your safety procedures and purchasing insurance coverage.