Protecting Your Passions – Top Insurance Policies for Craft Businesses
Whether you’re stepping out into the world with your handmade craft products for the first time or if you’re a veteran craft business owner, obtaining the best insurance package can be time-consuming and may sound a little confusing. However, here at Craft Insurance, we aim to make the process as straightforward as possible, ensuring you get the best possible value for money and a creative enterprise insurance package tailored to your particular business needs.
In this blog, we will answer some general questions first and then take a look at the various policy options we offer. Our insurance is tailored towards crafters who live in the U.K., the Isle of Man or the Channel Islands. It is for individuals who sell at a few fairs or village hall events a year, through to craft clubs and registered businesses. You buy the policy and make any amendments with us. As we are a small family firm ourselves, you will not have to wait in a queue to speak to a call handler. Either Sam or Naomi are here to answer your calls or pick up your messages. Craft insurance has been running for a couple of generations and so we have amassed a broad knowledge of the various insurance needs of crafters over the decades. We always enjoy hearing of new enterprises or speaking to valued customers and we look forward to hearing from you.
One of the most frequently bought creative enterprise insurance packages is for public and product liability. These are not a legal requirement, but as they cover you for all those completely unforeseen mishaps, it is wise to consider them. Public liability insurance will cover you for any claim made by a member of the public for damage or injury to them or their property by a member of your staff or by yourself. An example of this could be someone slipping on the edge of a tablecloth at a craft fair. Product liability insurance covers you for any claim made against one of your products causing injury or harm. Even if you are not at fault, public and product liability insurance will cover your legal defence costs and any compensation required. Public liability insurance is good to have if you go out and about to sell, demonstrate or teach your craft, and product liability insurance covers you for selling online or in shops as well as at fairs. If you are planning on setting up a craft fair, it will not provide blanket insurance for this, but can be bought by the individual craft sellers who attend.
Another popular type of creative enterprise insurance is our business items cover. This covers for loss, theft of damage to items used in connection with your business. We also cover items used in connection with clubs. For example, this could be stock, raw materials or tools. It could also be finished products made by yourself or in your care. It can be items essential to your business but not directly involved in the making of craft products, eg desktop computers, video cameras, laptops or other media recording devices or accessories. We also cover equipment you would need at craft shows or fairs, eg electronic card readers. As with product and public liability insurance, business items cover is not a legal requirement but for items with a high monetary value or stock which has taken time and skill to produce, it is well worth considering. The quote is based on the items you wish to insure, which allows for good value as you are only paying for what you need.
Business items insurance also covers loss or theft of money in connection with your business up to £500, the cost of replacing locks or keys in order to keep a building safe up to £250 and loss related to cancellation, postponement or relocation of a craft fair or event at which you are pre booked within the UK or Ireland. Excess for any claim is £50.
While the above two insurance options, while advisable, are not a compulsory requirement, employers’ liability insurance is, in most cases, a legal requirement. This dates back to the Employers’ Liability (compulsory insurance) Act in 1969, and fines can be issued if it is not in place. So, whether you are a sole trader, a limited company or a club, if you employ anyone, even on a temporary basis, or open your doors to volunteers, you will need to check out the requirements for employers’s liability insurance. There is no excess on this and it covers you for claims of injury or illness made against you by employees of staff as a result of the work they do for you.
For those of you in the initial throws of turning your crafting hobby into a business, insurance can sound a little overwhelming. However, we can assure you that it is really quite straightforward. While you obviously need to get a couple of quotes, we here at Craft Insurance not only offer very competitive and tailor made packages for your creative enterprise insurance but because we are a family business ourselves you can email or phone us, and we will be here to answer your queries and talk you through the insurance needs for your specific business. This ensures you are not paying for something you don’t actually need.
We love hearing about the incredible business ideas and creative industries of our customers. So, to end this blog on the nuts and bolts of creative enterprise insurance, here’s a quick reminder to protect your crafting passion and productivity; make some space for your own creativity to be inspired and nurtured. Why not put a date in your diary to go for a ramble in the spring countryside, visit an art gallery or craft exhibition or simply sit with a mug of tea and watch the clouds. Enjoy!