Small, family-owned farms have found it difficult to compete with the high yields and low prices of commercial farms in the past. Thanks to the growing popularity of farmers' markets and a renewed interest in sourcing local produce, small farms now have a profitable outlet in which to sell their goods. While participating in a farmers' market can help you increase your farm's revenue, it's important that you are taking the time to ensure that you have adequate insurance coverage.
Here are three tips that you can use to guarantee that your enjoy full-coverage insurance when selling at your local farmers' markets.
1. Invest in product liability insurance.
Although you take every precaution to ensure that you are selling quality produce to the public, there is always a chance that one of your fruits or veggies could cause serious harm to someone who make a purchase through your farmers' market booth.
If you don't have product liability insurance in place to help cover the financial costs of a lawsuit stemming from these damages, your small farm could be ruined. Be sure that you talk to your insurance agent to determine how much product liability insurance is needed to protect your assets.
2. Make sure you have property damage insurance.
Creating an attractive booth that will draw shoppers to your produce takes time, effort, and money. Farmers' markets are typically held outdoors where your booth is exposed to the elements. In the event a natural disaster strikes, you want to ensure that you can recoup the cost of any repairs that are needed to restore your booth to its original conditions.
Adding property damage insurance to your existing farm policy will allow you to rest easy knowing that any damage your booth sustains while you are participating in a farmers' market event will be covered.
3. Ask about group policy rates.
The organizations that host farmers' markets are usually familiar with the unique insurance needs that individual vendors face when participating in these events. Many farmers' markets have partnered with insurance companies to negotiate group rates for vendor liability insurance.
You can take advantage of the premium discounts associated with these group rates by taking the time to inquire about the availability of a group policy before deciding which farmers' markets to participate in.
Having adequate insurance before you market your produce to the public at a farmers' market ensures that your small farm will not face financial ruin should something go wrong during one of your farmers' market outings. Contact a company like Western Reserve Group to learn more.
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