As eating locally grown and harvested foods continues to grow in popularity, so does the demand for farmers markets. If you run a farmers market, or if you’re a farmer who rents space in one, you can limit your financial risks by getting set up with the right farmers market insurance. Having coverage can help your business recover from losses due to theft, fire damage, and much more.
Fortunately, an independent insurance agent can help you find the right kind of farmers market vendor insurance. They'll get you equipped with all the coverage you need. But first, here's a deep dive into farmers market insurance.
What Is Farmers Market Insurance?
Farmers markets typically include several vendors who run booths in a single, centralized location. Whether you run the whole farmers market or you’re a vendor, you’ll want to consider purchasing insurance coverage that protects your business from potential financial disasters. Because both the vendor and the business entity running the farmers market can be named in a lawsuit, each needs to be covered by a special type of business insurance to be protected.
A farmers market insurance policy combines the basics of standard business insurance coverage with special types of coverage tailored for the niche. Farmers markets have unique exposures not faced by other kinds of businesses, so they need coverage designed just for them. An independent insurance agent in your area can easily help you find the right policy.
What Kind of Business Insurance Do Farmers Markets Need?
Your farmers market insurance policy will start with the basics of a standard business insurance policy. These often include:
- Commercial property insurance: This covers your business's property, including buildings, equipment, and inventory, against losses due to listed disasters like theft and fire damage.
- Business interruption insurance: This covers temporary shutdowns due to listed disasters like a severe fire or break-in by providing a continued revenue stream and employee wages during the closure.
- Commercial general liability insurance: This covers lawsuit costs for third-party claims of personal property damage or bodily injury.
Your independent insurance agent can likely get you set up with all three of these coverages in a convenient and affordable policy known as a business owners policy.
Liability Insurance for a Farmers Market
Farmers market liability insurance is a critical part of your policy. Your business could get sued at any time due to the products it sells, its premises, the actions of your employees, etc. Make sure to look into adding the following types of liability protection:
- Product liability insurance: This covers lawsuit costs related to third-party claims of harm caused by the products your business sells. Both vendors and farmers market owners are at risk of this kind of lawsuit, so each must have this coverage.
- Liquor liability insurance: This covers lawsuit costs related to an intoxicated guest causing harm to another third party after consuming liquor you sold them, even if they've left the farmers market premises. Both vendors and owners need this coverage, too.
Your independent insurance agent can help you find all the liability protection your farmers market business needs.
Additional Coverage May Be Necessary for a Farmers Market
Your insurance policy for the farmers market may not yet be complete without adding more types of coverage. Be sure to also look into these commonly added extra business insurance coverage types:
- Workers' compensation insurance: This covers costs associated with employee injuries and illnesses caused by the job environment or work duties.
- Inland marine insurance: This covers your business property, like the goods sold at the farmers market or tables, etc., used to set it up while it's in transit between the market and another location.
- Crime insurance: This covers dishonest acts by employees and criminals, such as stealing products or money from the farmers market.
- Spoilage coverage: This covers losses from food that spoils due to listed perils like power outages and more.
An independent insurance agent will know exactly which types of additional coverage are necessary for your farmers market.
Save on Business Insurance
Our independent agents shop around to find you the best coverage.
How Much Does Farmers Market Insurance Cost?
Fortunately, the risks faced by vendors and operators of farmers markets are relatively few, so insurance premiums for this coverage can be much more reasonable compared to those for riskier businesses. But farmers market vendor insurance costs vary based on a number of different factors, including:
- The number of days you operate your farmers market
- The average number of people who attend your farmers market
- The type and amount of coverage you need
- The location of your farmers market
- The claims history of your farmers market
- The annual revenue of your farmers market
When you work with an independent insurance agent, you can easily compare policies from a variety of insurance companies, so you can be sure that the coverage you buy is competitively priced. Your agent can provide you with many different farmers market quotes so you can pick the best rate.
Why Work Together with an Independent Insurance Agent?
Independent insurance agents have experience in dealing with all kinds of businesses and insurance policies. They excel at matching the most appropriate policy to the business in need.
Shopping around for insurance policies can be time-consuming on your own, but an independent insurance agent's role is to simplify the process. They'll shop and compare policies from multiple local insurance companies for you to get you the overall best blend of coverage and cost for your farmers market insurance.