$1500 for insurance?

[Bnky]

I have been working hard to get myself set up so I can start selling my soaps to people who want to buy them (who have already tried samples). I do not want to venture out to craft shows yet or sell soaps in stores, I just want to sell to people who have already tried them and want to buy.

One of the toughest things I am facing is insurance. Does anyone know of a good liability plan? The plan my broker has found is 1500 a year, which is way more than I want to pay at startup. Also, what would be the biggest problems I may encounter in the first year and any advise on what would help at the beginning?

 

[southernvtsoap]

I would look into joining the Hancrafted Soapmakers Guild http://www.soapguild.org/ They offer insurance to their members at a very reasonable cost.

 

[Guest]

Where are you located ?

Kitn

 

[TheSoapyEwe]

I second the Soap Makers Guild!

 

[Guest]

The HMSG doesn't have insurance for anyone outside of the USA . It is supposed to be in the works , but who knows when it might happen .

Kitn

 

[Bnky]

Thanks your responses. I am in the US so I will look into the Soap Makers Guild. I also contacted RLI (someone mentioned them on the forum in another post) and they do have a plan around $200, if you do not plan on selling more then $5000 in sales. Which for now I think would do fine. But I am somewhat cautious because it is so much less than the other plans my broker found. Is anyone aware of RLI and specifically thier liability coverage?

 

[carebear]

I used them for a while - no problems, but then I didn't make any claims.
RLI doesn't cover candles, tho.

 

[SilverMaple]

I have RLI right now; I doubt I'll sell over $5000 my first couple of years, and if so, then I can afford other insurance!

I will have to put my candle-making hobby on-hold, however. They will not insure you with candlemaking, that is correct.

 

[Bnky]

Thanks for your help!

 

[Avalon]

I've gotten RLI through Bomba Insurance for years. It runs around $180 a year. They're very knowledgeable and helpful.

 

[Bnky]

Thanks Avalon...I think that is who I am going to go with. Thanks everyone!

 

[bombus]

Bnky-
I have the same dilemma. I just googled RLI, and from what I read,
the coverage for home business is for general liability- not product
liability, which is what you want. I can't find any links to it.

Then I looked at the list of businesses that would qualify, and Soapmaking
is not listed.

Guess we're stuck with HSG. The insurance + membership is $500.00/year

 

[SilverMaple]

I have a PRODUCT LIABILITY policy from RLI. Call them and ask about it. I think soapmaking falls under 'crafting.'

 

[Bnky]

Bombus: They do offer insurance for soapmakers. I think this is who I will until I have sales over $5000 a year. If & when I exceed $5000, HSG will be a great source. Call and speak to someone at RLI, they will email you the details.