Any insurance for Contract liability ?

[mayfair]

We are supplying to the Govt and have a govt contract. We have a contract with the manufacturer to supply goods to the govt. Is there any insurance to protect us just incase if any things goes wrong ( if govt rejects goods after delivery , or damaged goods etc ) .
Also our liability will begin once we pay money to the manufacturer. Govt takes upto 3 days to inspect the goods once they receive it. during that time incase if goods are damaged etc we will be responsible. So how do we cover that ? What kind of insurance do we need ? Thanks in advance.

 

[Red Wood]

If goods are damaged in transit, the insurance you presumably take out with your freight forwarder will cover any loss.

If the goods are not manufactured to the agreed specs understood by all parties than as long as you haven't rebranded as OEM, you have right to recourse in legal disputes back to your manufacturer.

When and how you pay your supplier is only the concern of you and them. In future negotiate trade terms which removes another layer of risk for you.