Hi everyone,
I have a meeting planned with a woman who runs an apple orchard and farm store about renting out her commercial kitchen. I have spoken with local health and consumer protection people about the health and bakery licenses I need...I would be getting separate licenses, not working under hers. My question is -- when you are using someone else's kitchen, what about liability? Must I get insurance, and how do I go about doing that? I anticipate that is not cheap. 
I expect to only be doing a handful of cakes a week, so I'm just trying to figure out if this is going to be worth the expense.
thanks.
Yes you need your own liability policy. you could find out their carrier, and get a policy-probably easier. I have a catering policy, with $2 million liability that costs me $500 a year. It will cover most of my equipment, too. My carrier is The Hartford.
edited post to correct 500 a month to 500 a YEAR.
Don't get scared I think the policies must depend on volume and all, my policy with the Hartford was $450 for 2 million liability but every 6 mos not monthly.
But yes you must have it...to protect you as well as them. What if the kitchen burns down and they blame you....no insurance and you are sued...
Good luck,
julia Stoner
Yes you need your own liability policy. you could find out their carrier, and get a policy-probably easier. I have a catering policy, with $2 million liability that costs me $500 a month. It will cover most of my equipment, too. My carrier is The Hartford.
okay, hmmm...five cakes a week...not going to cover it!! I hope it is based on volume!!
Oh I am feeling sooo relieved! I've been thinking about insurance today (and by the way, does anyone have a good agent - I'm in CA - and I don't know who to call and I feel hesitant to just get any schmoe in the phone book or off the web). The prices you are quoting are a lot less than I had budgeted so now I am feeling super happy!!!!!!!!!!!!!!!!!!!!!!!!!! 
I'm wondering about the kitchen rental though, do those of you who posted already rent a kitchen or is that price for your own kitchen?
I use Farmers insurance group and my insurance is $32.00 (31 and some change) a month which is around 380 to 390 a year. This is very reasonable price. I am home based but my agent said that it stays the same when I get a store front. Not only do I have $2 million in liability but it covers several other things...ie: fridge goes out, oven stop working, fire in kitchen, theft, employee dishonesty (if you ever hire anyone). My suggestion is to call around and get quotes. Most don't have a problem doing it and if you call the person you have car insurance through, most of them offer business insurance, they will probably work a lot faster just because it means more of your business. Not only did my insurance agent get my insurance for me she also gave me her business and got me business from other people she does business with.
Sorry so long
amwake thank you thank you thank you. This is making my day! Unfortunately I use USAA insurance and I don't think they do business insurance, at least I can't find anything like that on their website. I wish I could just go through them. I don't think I can add my businesses insurance onto my homeowners so bummer.
Last year when I was thinking of this business (but at a much wider scale, I have significantly scaled back my business plan to something I think is doable) the farmers guy literally LAUGHED at me and said he wouldn't insure me 
but in hindsight that was a blessing, I don't have the time or finances to do my other business model, this one will allow me to still have a life and I think I will enjoy it
Are you kidding me? I know people are different in CA (no insult intended, I was born in Santa Rosa) but that is beyond rude. I can't believe that. Most of the companies around here will insure you if for no other reason than they are making more money. I would call USAA and ask if they have business insurance and if they don't who they would suggest. They will probably hook you up with a great insurance agent. Hope all goes well! let me know.
You can also work with an insurance agent (kind of like a travel agent). Our agent finds us the best deal reguardless of the insurance company. We have our auto, boat, house, and umbrella policy all under one company (The Hartford). I also think when you do that you may recieve a better deal with the insurance company for your business. Our agent does personal and corporate insurance.
Jacqui
Good suggestion amwake.
My dad was in the military and USAA is military insurance, banking and investing. I have thought about emailing them just to ask, but I don't think that is their focus.
I think I will go with someone else besides that farmers guy though! To his credit, he did call a bunch of other companies to see if any of them would insure that particular business model. A few said they would, but by the time he called me back (months later to tell me he wouldn't insure me, and after he had laughed at me) I had pretty much decided that there was too much liability in my original model and would change it. I'm glad he laughed at me, made me a lot more realistic!
Ahh my dear, but you are wrong. USAA does have rates for business insurance. That is who I am insured through. They use The hartford. I have posted the link below. If that does not work, login to USAA and search Hartford. I LOVE USAA!!! They are the best always helpful and polite. Great rates too!
https://www.usaa.com/inet/gas_pc/StaticPages?PAGEID=pc_business
Julia
I would consult a lawyer about your liability and what specific policies you will need to protect your self. Each state has their own set of weird laws that you may get nailed with. That is the safest way to do this. Property laws are a very tricky thing so you need to be very carefull.
Did you call the Harford? I have a policy using another kitchen through USAA underwritten by the hartford. I know they do it...just call and try to get another rep.
julia
Quote by @%username% on %date%
%body%