When is cover against manufacturing risk of value?

When is cover against manufacturing risk of value?

If you produce goods specifically for your customers, it is possible that a customer may become insolvent between the time the order was confirmed and delivery of the goods themselves.

If that happens, it may be of value to take out manufacturing risk cover. This policy will compensate you for the costs incurred (purchase of raw materials, production costs, etc.) in the period between confirmation of the order and delivery of the goods.