Self-Written Insurance for Customer Brought Items?

[Chase Williams]

Hey Everyone,

We have had both a lot of odd expensive items that customers have brought us and a couple new staff members. We have all made a mistake while lasering that has left an item less than perfect. Its one thing to replace a low cost item, but replacing customer brought items that in some cases are irreplaceable can be another thing. So my question is, has anyone offered something like a self-written insurance for customers, where you say something along the lines we will cover replacement for (x)% of the declared value. It could be a good money maker if mistakes aren't made, but also covering the cost difference in what the additional liability is worth?

[John Lifer]

Kind of interesting take. I just have a discussion with a customer if I'm not 100% sure things work out and I have posted a disclaimer. And I have insurance. But I don't really think I like the idea of charging say $2 for an item or $20 if larger order to possibly cover issue. It seems to me like it is saying you aren't positive you know what you are doing. Just my take.

[Chase Williams]

Kind of interesting take. I just have a discussion with a customer if I'm not 100% sure things work out and I have posted a disclaimer. And I have insurance. But I don't really think I like the idea of charging say $2 for an item or $20 if larger order to possibly cover issue. It seems to me like it is saying you aren't positive you know what you are doing. Just my take.

I hear what you are saying, and its not really about confidence in what is being done as much as insurance. It would not be mandatory but I have seen issues with third party items (especially with our Fiber), as knowing the material isnt always easy. 304 Grade Stainless engraves different than 316, but really knowing what material something is from a 3rd party is very difficult. We have different settings for different materials to achieve a black mark or in some cases color with the MOPA (extremely sensitive to material). I think what I am trying to say is that its definitely possible to have unknowns with 3rd party items that can lead to failure, I communicate that upfront but in general I think it would be something to give customers additional assurance through the unknown and give the company the additional ticket price to take on replacement risks. Currently, if a product doesn't come out 100%, we go into our pocket to replace it, even 3rd party items. We have found a couple of niches though that involve costly items and inconsistent materials, that led me to consider something like this. I'm hoping that I can get some more feedback as to what other people are doing, if this idea can be improved, or if its just a bad idea.

[Richard Coers]

A lawyer will tell you this is no contract or liability waiver that can't be broken.

[Chase Williams]

I dont think that this is being taken the way that I am intending. I'm not looking for legal opinions and the only person who would want to break it is the company if they damaged something, which I'm honorable and wouldn't break my agreements. I thought it was a cleaver idea that was worth improving on or considering.

[Kev Williams]

What you're talking about sounds pretty much identical to Rent-a-car company's insurance; if the customer pays the '$10 to $50 per day' rate, they're covered and you pay for the damage, if not, THEY pay. The premiums just goes into the pocket of the rent-a-car company, and offsets the costs of THEIR insurance, or their cost outright to pay for repairs...

I've been engraving for nearly 50 years, and the best insurance for me is simply to ask "what do expect of me if I screw up your [priceless heirloom that probably should be nowhere near a 'machine shop']"? I also explain that sometimes I don't do the screwing up, sometimes computerized machines grow a mind of their own (all it takes is a parallel/serial/USB connection or other electric plug to misbehave)... If I don't like their answer, I won't do the work. I've also become very adept at 'live' proofing of engraving, such as 'engraving' on tape or paper with ball-point pen spindle 'tools', or lasering on blue painters tape which the customer can see and OK before I put diamond-drag tools, carbide cutter tools or miniature flamethrowers (aka laser beams ;)) to use on their items. And I always insist on text lists in 'computer form' that I can copy and paste from, so that any spelling mistakes ain't mine! Fortunately, the bulk of my income comes from engraving parts I also make or manufacture, like Rowmark/Duets plastic tags/labels, engraving plastic and metal legend plates I make or buy myself, or the ski-lift operator panels I build from scratch. That way I usually only screw up my own stuff :) - The worst 'street customer' argument I ever got into was being blamed for spelling a name wrong on a silver platter, which happened immediately after the customer watched over my shoulder and okay'd all the text I'd laid out on screen in real time, and watched while the machine engraved the platter... it was only AFTER the engraving was finished that the customer noticed the wrong spelling, then proceeded to blame ME for it.
Umm...493129

THAT all said, you're looking to do this as another way to make some extra money... I see no problem with that whatsoever! :) The only issue I see is how would you calculate the insurance premium? I suppose figuring out a certain percent of the value of the piece being insured---

Aside from that, just don't forget to claim it on your taxes! 493131