Home Bakers And Insurance

Business By gr8cakemaker Updated 8 Jun 2009 , 12:14am by momma28

gr8cakemaker Posted 5 Jun 2009 , 7:59pm
post #1 of 13

For you home bakers, where do you get your insurance from? I have been trying to do some research...but thought I would turn to CC for advice. Also those of you who have bakeries, I would love to know where you get your insurance from! TIA icon_smile.gif

12 replies
Stephi1 Posted 5 Jun 2009 , 8:03pm
post #2 of 13

I have a rider on my homeowners policy.

cookie_fun Posted 5 Jun 2009 , 8:09pm
post #3 of 13

I work in commercial insurance and most companies offer a home based business policy. You only pay for your liability and your supplies. They run somewhere around $100-$200 a year depending on your coverages.

ziggytarheel Posted 5 Jun 2009 , 8:12pm
post #4 of 13
Quote:
Originally Posted by cookie_fun

I work in commercial insurance and most companies offer a home based business policy. You only pay for your liability and your supplies. They run somewhere around $100-$200 a year depending on your coverages.




I work in commercial insurance as well, for many years, and I've never seen a commercial policy for anything as low as $100. I can't even figure out how that is possible.

gr8cakemaker Posted 5 Jun 2009 , 8:17pm
post #5 of 13

thanks cookie_fun, I just spoke with RLI about home business insurance and
-for $300,000 business general liability coverage
-$300,000 business personal property
-and $5,000 per person for medical payments to customers or vendors injured on your premises.

All for $202 per year. It sounded like a good deal...since you cookie_fun and ziggytarheel are in the insurance business, does it sound like a good deal to you?

ShopGrl1128 Posted 5 Jun 2009 , 8:22pm
post #6 of 13
Quote:
Originally Posted by cookie_fun

I work in commercial insurance and most companies offer a home based business policy. You only pay for your liability and your supplies. They run somewhere around $100-$200 a year depending on your coverages.




I added liability insurance to the homeowners insurance, I paid $159.00/year for $300,000 coverage (I thinK).

ziggytarheel Posted 5 Jun 2009 , 8:24pm
post #7 of 13
Quote:
Originally Posted by gr8cakemaker

thanks cookie_fun, I just spoke with RLI about home business insurance and
-for $300,000 business general liability coverage
-$300,000 business personal property
-and $5,000 per person for medical payments to customers or vendors injured on your premises.

All for $202 per year. It sounded like a good deal...since you cookie_fun and ziggytarheel are in the insurance business, does it sound like a good deal to you?




I think you better double check on the business personal property coverage amount. If you are baking from home, you don't need that much coverage, right? And, you can't get that much coverage for that price. Did you mean $3,000? icon_smile.gif

That is a low amount of liability coverage. I suggest you comparison shop, apples to apples, please. And that you talk to your agent about what your actual risks are and what coverages you really need.

indydebi Posted 6 Jun 2009 , 12:55am
post #8 of 13
Quote:
Originally Posted by gr8cakemaker

For you home bakers, where do you get your insurance from? I have been trying to do some research...but thought I would turn to CC for advice. Also those of you who have bakeries, I would love to know where you get your insurance from! TIA icon_smile.gif




I've said this a million times.... TALK. TO. YOUR. AGENT.

He's the one who is licensed in everything insurance. He's the one who knows what your current homeowner's policy covers and if you can use that or if you have to buy a separate policy. He's the one who is aware of your state laws and what is required, etc.

As someone who worked over 15 years in personal auto/homeowners AND was a licensed life/health agent, I just don't see how an insurance-civilian can do the research ... there is just too much to know and civilians just do not know it. I'm not talking down to anyone ... it's just a fact. There's a REASON agents have to take lots of classes and tests to sell this stuff. IT"S COMPLICATED!!


Talk. To. An. (Independent). Agent.

tracycakes Posted 7 Jun 2009 , 1:16am
post #9 of 13

I agree with Indydebi wholeheartedly! I am working on my business plan to become legal and rent a commercial kitchen (no homebakers in Arkansas without a separate kitchen). I will be talking to my insurance agent week about what I will need, what it will cost, etc. I have a list of questions, especially liablity issues. No offense to anyone here, but my agent is the only run I will trust. They know what you will need and what it will cost.

momma28 Posted 7 Jun 2009 , 6:37pm
post #10 of 13

ok I may seem stupid but if I deliver all my cakes and no one comes to my house why do I need liability insurance?

indydebi Posted 7 Jun 2009 , 7:30pm
post #11 of 13
Quote:
Originally Posted by momma28

ok I may seem stupid but if I deliver all my cakes and no one comes to my house why do I need liability insurance?



Can you ALWAYS guarentee that there will never be a staple or a splinter in your cakes that someone would choke on? (they've been found in cake mixes and flour). Can you ALWAYS know that they won't find a hair in there? Do you know for sure that someone who DIDN'T tell you they had an allergy will say that they DID tell you and therefore it's your fault that they had a reaction?

You need insurance in case someone sues you. As it was said to me once, when I asked, "Can someone really sue for that?", I was told, "You can sue for ANYTHING! Winning the suit is a different story, but you still have legal expenses involved in defending your side of it."

That's kinda like saying, "If I always drive careful, do I REALLY need car insurance?"

sari66 Posted 7 Jun 2009 , 7:47pm
post #12 of 13

You said it debi. Ppl sue for anything and everthing in this country and you need to be covered.

momma28 Posted 8 Jun 2009 , 12:14am
post #13 of 13

Since being an llc protects our family finances I guess I never thought it. Will be calling insurance agent tomorrow

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