Chemical Insurance
Chemical insurance from Canopius supports businesses operating in one of the world’s most technically demanding industries. Our team works closely with clients to assess risk management controls, review operational exposures and develop tailored coverage designed to support critical assets and business continuity.
Chemical manufacturing ranges from large continuous commodity plants to smaller batch production facilities. The hazard profiles of manufacturing processes can vary significantly.
Drawing on deep technical underwriting expertise and a collaborative approach with brokers and risk engineers, Canopius structures Chemical insurance solutions designed to reflect the realities of each operation.
The chemical sector supplies materials used across nearly every goods-producing industry and contributes approximately 7% of global gross domestic product (GDP). This makes specialist insurance expertise important for businesses operating within it.
Our capacity
What we do
Opportunities are vast, and we’d welcome the opportunity to talk through any risk that falls within the chemical sector. There is a diverse range of chemical industries that can be categorised as follows:
- Organic chemicals – gases, lubricants, resins & waxes, polymers, plastics, and synthetic rubbers
- Other derivatives – synthetic rubbers, surfactants, inks & dyes, pigments, resins, and explosives
- Inorganic chemicals – salt, chlorine, caustic soda, acids, epoxies, silicon, titanium dioxide (used as a whitener), hydrogen peroxide (bleach), sodium bicarbonate & fertilisers
- Electronic chemicals
- Industrial gases
- Adhesives & sealants
- Paints & coatings
- Industrial cleaning chemicals
- Catalysts
- Agrochemicals
- Diagnostic chemicals
- Healthcare products
- Vitamins
- Pesticides, herbicides and fungicides
- Soaps, detergents, bleaches & laundry aids (emulsifiers)
- Hair and skin care products
- Fragrances
- Cosmetics
- Fibres (nylon)
Managing risk in the chemical industry
Chemical risks remain vulnerable to the same threats as any other company, including acts of nature (earthquakes, hurricanes, tornadoes, lightning strikes, serious flooding), fire and explosion, and machinery breakdown.
Chemical manufacturing frequently involves significant hazards where, should the worst happen, the consequences would be significant and include off-site effects. The probability of the worst-case incidents occurring is low due to the significant risk management controls in place.
The assessment of these risk management controls is complex; chemical manufacturing can fall outside insurers’ risk appetite based on hazard profiles alone.
Our approach to Chemical insurance underwriting
Our dedicated chemical industry practice specialists understand the unique risks, threats, and opportunities presented in the chemical space. They can help assess the adequacy of the risk engineering to ensure the customer gets exclusive terms.
Receipt of key information will be critical in determining the best terms, none more so than copy surveys focusing on performance safety management, control of change, and preventative maintenance. A five-year loss record, schedule of values, and wording are also essential.
Where appropriate, Chemical insurance programmes may also sit alongside property protection such as Mining, Metals & Property Insurance to provide broader operational coverage for industrial facilities.
Speak to one of our specialist underwriters
