Event-Specific Or Annual: Which Type Of Food-Processing Insurance Is Right For You?

27 January 2015
 Categories: Insurance, Blog


If you run a home bakery, you may have noticed that if you want to participate in things like festivals, farmer's markets, and trade shows, you will be required to provide proof of food-processing insurance. This type of insurance protects you as a business owner in the event of a problem such as spoiled food or a clumsy customer, and many venues see it as a way to protect themselves without having to go to a great expense on your behalf.

This lowers the cost of participating in the event, and increases your chance for profits. However, as you look for food-processing insurance, you will discover that there are two major types. Which one is right for you?

Event-Specific Food-Processing Insurance

If you are just starting out in the home-baking business, you may not have a lot of capital to invest in things like insurance. Event-specific insurance allows you to purchase a policy to cover just one event venue. This type of insurance works well if you are participating in just one trade show or festival, and allows for as little as one month of coverage.

Because the coverage lasts for at least a month, it is also possible to use it for an event with multiple dates, such as a weekly farmers' market. However, because the coverage is only for a limited amount of time, you may find yourself renewing the policy before the end of the market.

Annual Food-Processing Insurance

If you are planning to attend several events over the course of the year, an annual policy makes sense. These policies are great for participating in multiple events, or one event that lasts the entire summer. Once you have the coverage, you do not have to renew it for each individual event, or every month.

This is great, especially if you are not sure when the events that you would like to participate in will take place. Also, these policies are generally quite affordable. In many cases, the cost of an annual policy is comparable to purchasing a couple of months worth of event specific insurance.

As you branch out into the community and begin participating in events, you need reliable food-processing insurance. An event-specific policy can help you get started with one venue, and an annual policy can help you to keep active with multiple venues or longer periods of time. Choosing the right type of insurance to meet your needs can save you money, and help you to grow a successful home-baking business.

To learn more, contact a company like Mariano Agency with any questions you have.