Do I need insurance to sell products?

If you make or sell products, your business can be held liable for the cost of product liability claims if your product ends up harming a customer—even if the customer uses the product incorrectly. Product liability insurance shields you from legal and financial fallout.

Do you need insurance on a product?

There is always the potential for defects that can result in bodily injury or property damage - serious risks neither your business nor customers can afford. That's why all businesses that sell products should have product liability coverage.

Do you need insurance to resell?

You will need product liability insurance if:

Your business name appears on a product, whether you made the product or you're simply a reseller of the product. You run a business that repairs or repurposes products for reuse.

Do I need insurance to sell homemade crafts?

Popular crafting marketplaces, such as Etsy, Folksy, Ebay and Not On The High Street, don't make it compulsory for you to have insurance in order to sell products on their websites. However, it is important to have appropriate craft insurance in place to best protect your business, your goods and your sales.

Is product liability insurance compulsory?

However, product liability insurance isn't required by law. As a business you do not have to hold a policy, but manufacturers, suppliers, distributors or retailers that your business works with may require you to have it as part of your contract.

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Do I need product liability insurance UK?

Product liability insurance isn't a legal requirement, but you may find that manufacturers, suppliers, distributors or retailers you work with will require you to have it. On top of that, if you are found liable for injury, damage or death caused by one of your products, you can be sued.

How much is product liability insurance for a small business UK?

The average annual cost for standard PL insurance in the U.K. runs about £118 for small businesses but can be significantly higher for those operating in high-risk fields. Public injury claims in the U.K. can cost upwards of £100,000 in some extreme cases, though most fall between £10,000 - £20,000.

Do Etsy sellers need insurance?

“Do I need insurance to sell on Etsy?” It's a common question for small business owners and makers. The answer is that you don't have to necessarily get insurance to sell or operate on the site. However, Etsy business insurance is recommended to help protect you from product liability claims.

Do I need insurance to sell at a craft fair?

Do I need public liability insurance for a craft fair? While public liability insurance is not a legal requirement at craft fairs, it is highly recommended and some craft fair event organisers will want to see evidence of craft stall owners' public liability insurance policies.

Do you need insurance for a small craft business?

There are some types of cover that all crafters should have – Public and Products Liability insurance is definitely one and, if you employ anyone, the law says you have to have Employers Liability cover too.

Do I need insurance to sell handmade crafts UK?

As touched on above, you do not legally require public and product liability insurance to sell at a craft stall. However, it is a good idea. If, for example, a member of the public trips over your stall and becomes injured, this cover will protect you.

Do I need insurance to sell on Etsy UK?

Do I need business insurance to sell on Etsy? Put plainly, no. You are not legally required to take out any form of insurance before selling your handmade crafts on Etsy. That being said, it is generally a good idea to at least consider purchasing online retailer insurance before selling on this platform.

Do you need insurance to sell resin?

It isn't compulsory to have insurance to sell resin art online or on an ecommerce marketplace. It's key that you remember however, that you won't be covered by the platform should an issue occur.

What items Cannot be insured?

What items need insurance?

Personal property coverage — also known as contents coverage on a home policy — helps cover the cost of your personal items if they are destroyed, damaged, or stolen due to a covered loss or peril. Personal property includes things like furniture, clothing, electronics, and kitchenware.

How much product liability insurance should I have?

It's up to you to decide how much product liability insurance you need, based on the products you sell and the possible size of any compensation claims. Most insurers offer between £1 million and £10 million of insurance, which usually includes both public liability and product liability cover.

Do I need to register as a business to sell crafts?

When it comes to crafting, there are very few areas in which a licence is essential. If you are working with and selling alcohol, food or have a business premise that isn't your home, you may need a licence. Otherwise, it is mostly acceptable for a small business to simply register with HMRC and begin trading.

Do I need a licence to sell at craft fairs?

If you are attending an organised Craft Fair, it is likely that the organisers will have obtained a licence to cover the event itself. However, if you are trading at a market for example, you may need a market stall or street trading licence. Contact your local council to understand what requirements there might be.

How much is crafters insurance per year?

The annual premium for £5,000,000 Public and Products Liability is £59.00. To include Employers' Liability, the premium will be £87.00. If you would like higher limits of indemnity for Public and Products Liability (£10,000,000) prices increase to £70.50 and £98.50 (with Employers' Liability).

Do I need to be a registered business to sell on Etsy UK?

When you are ready to start your Etsy business in the UK, you need to register with HMRC. If you plan to make selling online a large enterprise, you might consider forming a limited company.

Do I need insurance for my online shop?

Your shopfront might be virtual but you're still liable for the things you sell. And if a fire or a break-in wipes out your stock, or your store is out of action, the selling stops. Online retailers' insurance protects your business by covering your defence costs and any compensation due if there's a claim against you.

What are you not allowed to sell on Etsy?

The following types of items are prohibited or restricted on Etsy: Alcohol, Tobacco, Drugs, Drug Paraphernalia, Medical Drugs and Devices, and Items making Medical Claims. Animal Products and Human Remains. Dangerous Items: Hazardous Materials, Recalled Items, and Weapons.

Do I need public liability insurance for a hobby?

Regardless of what you craft, you will likely benefit from having public liability insurance. We cover a wide range of crafts which many other providers do not. These include, but are not extensive to: Cosmetics, such as Bath and Shower Products.

What insurance do I need to sell beauty products?

Product Liability Insurance will cover your products in production, supply and sale. If any issues arise as a direct result of your products, processes and/or packaging, you will be covered should any unwanted costs, legal or personal, occur.

Can business insurance be cheaper?

Insurers charge lower premiums for businesses that are well run. It's important that you can show evidence of this through: your own risk assessments. your quality control procedures.