Hidden Risks for Distributors and Importers

Do you import and distribute equipment from overseas? Here are the risks you need to be aware of.

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Many Australian beauty distributors and importers are unaware of the risks they run if their imported equipment prove to be faulty. First of all, the obvious place to start is to pick a reliable manufacturer – equipment is just as reliable as the manufacturers developing them.

A key misconception has been spreading in our industry – many believe that insurance claims can only be made against beauty product developers and not professionals supplying the equipment to salons and therapists. Parmia director Danny Gumm stresses this is not the case.

“Distributors are exposed to considerable risks in Australia as regulation states equipment importers face the same liabilities as manufacturers. This is despite, in many instances, distributors having no say in quality control or processes of equipment manufacturing,” Danny said.

Danny urges all distributors and importers to review their insurance, especially ‘off-the-shelf’ packages that claim protection but only provide superficial cover. “These packages offer inadequate protection because they don’t take into consideration the unique nature of each individual business. The only way to gain complete peace of mind is to actually sit down with a broker and have all your individual tasks assessed.”

For more information visit www.parmiainsurance.com.au

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