Home Bakers ~ Insurance Question

Business By kellertur Updated 22 Sep 2008 , 11:04pm by kellertur

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kellertur Posted 22 Sep 2008 , 6:25pm
post #1 of 4

It's fairly easy to attain a "home baking" license in the State I live ~ only mine is considered a "home food processor" license.
Today I contacted our home owner's insurance to ask if our premium is going to go up now that we are doing this (part time) our of our home. They said "no" as long as the traffic flow doesn't increase (so I deliver most of the time. ) Anyway...

My question: Although I only do vegan cakes, etc. (no cream fillings to spoil) and I basically refridgerate and hermetically seal everything anyway... what if someone, god forbid, ever gets food poisoning icon_eek.gif Is there separate insurances to cover that? I was under the impression that the license sort of covers that...??? I also understand that "any" ingredient has the potential to go rancid... has anyone ever dealt with this issue?

Thanks and sorry this is so long... I just want to be covered. icon_smile.gif

3 replies
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JoAnnB Posted 22 Sep 2008 , 7:27pm
post #2 of 4

You license does not cover liability, should something go wrong. You homwowners company may offer businsess insurance. I have a separate liability policy (2 million) through the Hartford company. It cost $500 a year and covers most everthing.

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costumeczar Posted 22 Sep 2008 , 7:30pm
post #3 of 4

I have insurance for personal injury and injury related to the food, whatever that falls under. It's not under my homeowners insurance, it's written separately under my business. You should definitely have insurance if you're selling anything...Food poisoning aside, what if someone has an allergic reaction to something that you made and sues you for not disclosing ingredients? People can find a way to sue you. If someone trips while they're coming to pick something up they can sue you for that.

Get a separate policy for your business, and you can deduct the cost as a business expense, too!

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kellertur Posted 22 Sep 2008 , 11:04pm
post #4 of 4

Thanks for the helpful info ~ we do live in a sue happy society, although if something happened to my daughter I'd probably bring out the claws too. icon_rolleyes.gif

My homeowner's ins. lady did mention about someone tripping in my driveway... I'm really glad I posted this question.

I'm definitely going to look into personal injury, etc insurance, especially now that I'd like to get customer's I don't already know. (I've been a little gun-shy, not previously having this information.)
Better safe than sorry.

~thanks. thumbs_up.gif

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