You've invested your capital and creativity into a new line of jeans. But what if they arrive with a hidden defect that injures a customer, or the entire shipment simply disappears at sea?

A professional B2B denim factory protects you with two layers of insurance. First, product liability insurance¹ covers defects in the jeans themselves. Second, cargo insurance covers loss or damage during shipping, ensuring your investment is always safe.

In my 20-plus years of making jeans, I've learned that unforeseen problems can happen.

A great manufacturing partner² doesn't pretend risks don't exist; we plan for them. Insurance isn’t just a formality or a piece of paper. It is a critical part of our professional promise to you.

It shows that we stand behind our work and are prepared to protect your business just as we protect our own. It turns a potential disaster into a manageable problem we can solve together.

Do they carry factory liability insurance for production defects?

A customer gets a cut from a sharp zipper on jeans you sold them. Now you are facing a lawsuit, and all eyes are on your brand and your responsibility.

Yes, we carry product liability insurance. This policy is specifically designed to protect your brand from legal claims³ if a product we manufactured causes injury or damage due to a defect.

This is one of the most important, yet often overlooked, aspects of choosing a factory. Product liability insurance is our safety net, and by extension, it's yours too. This policy is for issues that are our fault as the manufacturer.

Think about a design flaw or a manufacturing error, like a metal rivet that wasn't attached properly or a chemical in the dye that causes an unexpected skin reaction.

If something like this were to happen and lead to a legal claim against your brand, our insurance is there to cover the compensation and legal costs. For us, having this insurance is non-negotiable.

It proves that we are a serious, professional operation that takes full responsibility for the quality and safety of what we produce. It's a key part of being a trustworthy partner.

What coverage applies for lost or damaged shipments?

Your container of jeans is on a ship that gets caught in a typhoon and sinks. Your entire investment for the season has just vanished into the ocean.

The cargo transportation insurance we arrange covers these catastrophic events. It protects the value of your goods against accidents, natural disasters, and even theft while they are on their way to you.

Once your jeans leave my factory, they start a long journey. Cargo insurance protects them during that journey.

The specific coverage depends on the policy, but a standard "All Risks" policy, which we always recommend, is very comprehensive.

It is designed to compensate you for the full value of the goods if they are lost or damaged due to external events. Of course, insurance policies have exclusions.

For example, they typically don't cover damage caused by the product's own inherent flaws, like a dye that was unstable from the beginning. That would be a product quality issue, not a shipping issue.

They also might not cover damage if we packed the boxes improperly. That is why it’s so important to work with a factory that does things right from the start.

Covered Events (Typical)	Excluded Events (Typical)
Ship sinking, Fire, Storms	Inherent defects of the goods
Transportation accidents (truck, plane)	Normal wear and tear
Theft or piracy	Damage from poor packing by the factory
Damage from loading/unloading	Delays causing market loss

How do I file a claim for cargo losses?

Your shipment arrives, and you discover three boxes are crushed and the jeans inside are water-damaged. You need to get your money back, but the process seems intimidating.

Filing a claim is a straightforward, three-step process. You must notify us immediately, document the damage thoroughly, and then submit the claim. We will guide you through every step.

If you discover a problem with your shipment, speed and documentation are everything. We have managed claims before, so we can help you get it right. Here is exactly what you need to do:

1. Notify Immediately: The very first thing you must do is contact me and the shipping company. Do not wait. You should also make a note on the delivery receipt that the shipment was received in a damaged condition before the driver leaves. This is critical proof.
2. Collect Evidence: This is the most important step. Take clear photos of everything. Get pictures of the damaged boxes from the outside, and then pictures of the damaged jeans inside. Keep all your paperwork handy: the commercial invoice (showing the value), the packing list (showing the quantity), and the bill of lading (your shipping contract⁴).
3. Submit the Claim: We will provide you with the official insurance claim form. You fill it out, and we will help you assemble all your evidence into a complete package to submit to the insurance company.

Acting quickly and providing clear evidence makes the process much smoother and leads to a faster payout. My team and I will be there to support you until it's resolved.

Can I purchase additional cargo insurance through them?

The standard insurance is good, but your order is exceptionally valuable. You are feeling anxious that the standard coverage isn't enough to protect your high-value inventory.

Yes, absolutely. If you need a higher coverage amount or want to insure against special risks, we can easily arrange for additional insurance for you through our established partners.

Your peace of mind is the priority. Standard cargo insurance⁵ typically covers 110% of the cargo's value, but sometimes that's not enough, especially for a luxury product. You have two easy options if you want more protection.

First, you can tell us the total value you wish to insure. We can then work with our freight forwarder or insurance broker to purchase a policy for that specific amount.

We handle the paperwork, and the cost is simply added to your final invoice. It's a simple, one-stop solution.

Second, you are always free to purchase your own insurance independently from a company of your choice. Many brands have their own global policies.

If you choose this path, we will provide you with all the shipment details your insurer will need, such as the vessel name, container number, and departure dates.

Our goal is to be flexible and ensure you have the exact level of protection you need to feel secure.

Conclusion

A true factory partner shares your risk. We use product liability and comprehensive cargo insurance to build a safety net under your business, protecting your investment from start to finish.

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