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Disclaimer: I am not a lawyer and nothing in this post should be considered as legal advice. It is for informational purposes only. Always consult with a lawyer or insurance representative with questions related to insurance claims. This is a sponsored post for Handmade Artisan Insurance.
If you know how to sew, you can sell handmade products at craft fairs, in consignment shops, on Etsy, or even on your own website. However, you should get insurance to protect your sewing business from liabilities. Without it, you could end up owing fees in the hundreds of thousands of dollars if you face a lawsuit.
Even though you are not legally required to carry general liability insurance for your sewing business, operating without it is risky. Insurance is designed to protect your financial assets in the event of customer injury or property damage. If you don’t have insurance for you sewing business, it’s something I suggest you look into getting.
Don’t Think, “It Will Never Happen to Me.”
You have homeowner’s insurance ‘just in case’ something happens. You have car insurance ‘just in case’ something happens. You have medical insurance ‘just in case’ something happens. Doesn’t it make sense to get business liability insurance ‘just in case’ something happens?
There are so many things that can go wrong in a sewing business. Most situations are impossible to predict. You always hope nothing will come up, but all businesses face risk, regardless of industry. The only way to have peace of mind is with a business insurance policy.
If something happens because of the way your sewing business is set up or the products you sell, you might be held responsible for any bodily injury or property damage that is caused. If you don’t have liability insurance, those fees come directly out of your personal assets. Ouch! That’s why it makes sense to look into getting liability insurance for your sewing business.
As soon as you decide to sell the things you sew, insurance should be as much of a priority as getting a business license. If you’ve been selling the things you sew without insurance, don’t panic but do take the time to get your insurance figured out!
Insurance Options for Your Sewing Business
There are tons of businesses you can start if you know how to sew, but no business is exactly the same. The cost of insurance will vary depending on the coverage options you choose. Most craft fairs only require you to have liability insurance.
Sewing business insurance options are seemingly limitless. You could get public liability insurance, professional indemnity insurance, product liability insurance, tradesman insurance, income protection insurance, cancellation insurance, employer’s liability insurance, accident insurance, and a hundred other insurance options. However, most of these are not necessary for a small sewing business.
At a minimum, you should get a liability policy for your sewing business — That’s what most craft fairs require when you apply.
If you have questions about what type of insurance to get for your sewing business, you should speak to an insurance representative who can review your business risks and help you choose the best option for you. You can find some good policy options from HandMade Artisan Insurance. They have liability policies with up to $2M in coverage.
It’s more affordable than you think…
HandMade Artisan insurance has a $285 annual policy and a $385 annual policy (As of Feb 2021). That’s a small price to pay for peace of mind that you won’t be ruined financially if someone sues your sewing business.
HandMade Artisan Insurance is an A+ rated insurance carrier. When you sign up, you get instant coverage with immediate proof of insurance. You also save money over other insurance companies because HandMade Artisan insurance is a risk purchasing group specifically for businesses that sell handmade products.
A Closer Look at HandMade Artisan Insurance Liability Coverage
Not all business liability policies are the same. HandMade Artisan Insurance provides bodily injury and property damage liability, as well as personal and advertising injury liability coverage. It is a good match for a sewing business.
Here are a few examples of how this liability coverage works:
- A Customer Gets Injured on Your Property or at Your Craft Booth: If someone gets hurt where you do business, your policy would pay for the damages. This is true whether the accident happens at a craft booth you are running or some other location where you run your business, including your home. Your homeowner’s insurance isn’t always enough to protect you.
- A Customer Claims Your Product Harmed Them: This one is a little harder to predict because all products are so different. However, if a customer gets injured because of your product, a liability policy protects you. It’s important to note that many insurance companies will not protect all items you sell. For example, there are so many laws regarding children’s toys that you may need to seek special coverage for it.
- You Cause Property Damage While Running Your Business: Whenever you attend a craft fair or any event, it’s possible to accidentally cause damage to the premises. In these situations, your liability coverage would cover the cost of the repairs. For example, wind could blow your tent or some of your products and break something. You would then need to make a property damage liability claim.
This is not a comprehensive list of all claims HandMade Artisan Insurance would cover. They also have a coverage grant provided within the policy for personal and advertising injury. You should ask specific questions regarding your sewing business and products to ensure you get the insurance coverage you need.
One great thing about HandMade Artisan Insurance is that there is no deductible when filing a claim. Additionally, defense costs are included within the coverage limit you choose. It is a good insurance option for people running a sewing business.
Business insurance is an essential investment as your sewing business grows. Most craft fairs require you to have it when applying for a booth. Hopefully, you won’t ever have to make a claim, but it’s nice to know you can if something happens. Check out your options from HandMade Artisan Insurance today!
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