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Does this quote for Insurance seem excessive of my needs?


Sndfrddy
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Hello Everyone, 

I made and sold candles for about 10 years. At Farmer's Markets, at a restaurant gift shop and on line. I did not have Liability insurance. Just an LLC. I stopped when we moved across the country.  Fast forward 5 years later I'm looking to relaunch in a larger Metropolitan area so this time I'm going to be an LLC and get Liability Insurance.  Our State Farm Insurance gave me this quote. Does this seem like excessive coverage? Like way more than what I need? I mostly just want to protect myself from being sued. And my inventory in case of burst pipes or something. I'll admit I don't much about insurance coverage. I've been on the ball about getting a new LLC, hiring a registered agent, Getting DBA, sales permit, EIN, ett. But this I'm a bit in the dark. I've attached her quote. Granted I didn't give her a lot of direction. Just told her I wanted product Liability. But I'm seeing some other things attached I'm wondering if I need. Any input would be appreciated!

quote 1.jpg

Quote 2.jpg

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That premium seems high compared to what I pay versus what is covered through HSCG. The have tweaked insurance into several levels in recent years. https://www.soapguild.org/member-benefits/insurance/

might be worth inquiring with your agent what additional insured will cost. Many venues request/require to be named insureds.

Last I knew the only catch with HSCG is you need to at least offer soap. I have not read the requirements recently to confirm though. 
 

Indie a business Network was another popular insurance resource for chandlers. https://indiebusinessnetwork.com

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I have one more question. I will be having all my supplies and finished product in our apartment and pay renters insurance.  If lets say pipes burst and there was damage to my supplies, would that be covered under my renters insurance?

 

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Anything should be covered under your misc items on renter's insurance, HOWEVER...some renter's insurance specifies that any business needs to be covered separately so you probably would have to say it's a hobby.  Check your policy.  Even my homeowners insurance did not cover any business product.

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Kinda shocked State Farm would cover a candle company. Last I inquired, they wouldn’t. If you’re worried about getting sued, you should make sure you have products liability coverage… don’t see that on this quote. I’m no insurance expert, but general liability and products liability are two different animals. 

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