As a small farmers’ market vendor, one of the first steps you’ll want to do after filing for your business retail license is to purchase a farmers market insurance policy to cover you against potential claims. 

Whether you’re just starting your business and want to get covered or you just want to compare farmer market insurance quotes online to find better options and rates and switch insurers, you’re at the right place! 

This guide outlines some of the key reasons why farmers market vendors must have liability insurance. Then, we’ll give you a farmers market insurance cost comparison from top insurers to help you find the best insurance for farmers market business. 

Finally, we’ll break down the different types of farmers’ market insurance coverage options that different vendors may need and provide you with some tips on how to get an affordable farmers market insurance policy for your precise business needs. It’s time to get your small farmers market business insured and financially covered!

Do I Really Need Farmers Market Vendor Insurance?

If you’re like many first-time business owners, then there’s a good chance that you’re questioning whether or not you really need insurance or not. As a young business, you’re likely trying to cut costs and save money so that you can invest it back into inventory, marketing, taxes, and other small business costs. 

Insurance is one area where you don’t want to cut costs, though. That’s not to say that you can’t find an affordable farmers’ market insurance policy (in fact, we encourage you to). However, you don’t want to go without a business insurance policy altogether. 

These days, small business owners face more claims and lawsuits than they ever have in the past. Without adequate coverage, one small claim against you and your business could ruin you financially. It's estimated that the average cost of lawsuits for small businesses is at $3,000 - $5,000.  

Although vending at a farmers’ market is a relatively low-risk business, there’s still a chance that things could go wrong. For example, you could accidentally sell a product that turned bad and caused illness or food poisoning to the customer. As a result, the customer might file a lawsuit against your business demanding payment. 

With the right farmers market insurance coverage, this claim would likely be 100% covered by your insurance policy. However, without coverage, you will have to pay that person’s hospital bills and compensate the income the claimant missed using your own money. 

This is just one example of something that could go wrong. Luckily, as you saw from the table above, farmers’ market liability insurance is relatively affordable and won’t set you back that much. The small monthly premium is well worth the cost for the protection offered by a good insurance policy!

Farmers Market Liability Insurance

The most common that is also the most basic type of farmers’ market insurance coverage is farmers market liability insurance coverage which is commonly composed of general liability insurance for farmers market vendors and businesses. General liability includes public liability coverage, which is designed to protect you from customer claims arising from injuries caused by your facilities (e.g., they trip over your power cords). Aka, members of the public. 

However, general liability insurance for farmers market vendors and businesses doesn't only cover public liability, but also any legal fees arising from lawsuits filed by employees and business owners. It provides a comprehensive coverage. General liability insurance not only covers you against claims for accidents resulting to injury but also provides coverage against claims arising for poor quality products or services (e.g., if you accidentally sold them moldy or rotten produce and they got sick)

Related: Restaurant Insurance

Farmers Market Insurance Cost Comparison 

Wondering how much farmers market insurance costs? Below, we’ve put together a table outlining the average rate of general liability insurance policies for farmer's market vendors. Keep in mind that these numbers are just an average obtained from nationwide surveys. The amount you pay could be slightly more expensive or more affordable, depending on where you live, how many days you’re open for business, and your annual revenue, as well as other risk factors. 

The average farmers market insurance cost is about $35 per month or $420 per year for a $1 million dollar general liability insurance for farmers market vendors. 

That said, here are some average farmers market vendor insurance quotes from some of the best farmers market insurance companies in America:

Farmers Market Insurance Monthly vs. Temporary Coverage

Most vendors purchase a full-term policy and pay their farmers market insurance monthly. However, if you’re a traveling vendor or you only sell on a scheduled basis, or maybe you are just starting out and have a full time job and only offer your goods on farmers market once a month, then you may find that purchasing temporary or on-demand coverage is more affordable. Most insurance providers offer on-demand coverage options. These policies are designed to provide coverage for specific dates, so you’ll only need to pay by the day instead of having to pay for a full month at a time. The best company for on-demand farmers market vendor insurance policies is Thimble, as it can be paid for as little as 1 hour, on a very cheap rate starting from as low as $8 for 3 hours.

Farmers Market Insurance for Vendors: Different Vendor, Different Needs

As we mentioned, farmers’ markets attract a wide range of shoppers and often contain several different types of vendors. While the majority of the vendors are local farmers, it’s also common to find food trucks, local artists, bakers, and other vendors. Below, we’ll explain the small difference in coverage that you may need, depending on which type of vendor you are. 

Liability Insurance for Farmers Market Vendors

If you’re a farmer selling their homegrown produce at the market, then you’ll most likely need a full-term general liability insurance policy. This will protect you from injury claims, product quality claims, and other safety and health-related claims that could come your way. 

Liability Insurance for Artisan Vendors at Farmers Market

Many farmers’ markets host pop-up artisans and vendors. If you only set up at the market from time to time, then you’ll probably benefit from a temporary or on-demand insurance policy. However, if you’re renting a permanent space at the farmers’ market, then you should go with a full-term monthly liability insurance policy for artisans.

Read more about artisan insurance 

Liability Insurance for Food Trucks at Farmers Markets

Food trucks and food vendors are commonly seen at farmers’ markets, as most of the produce vendors don’t have the necessary license to sell cooked food to the general public. Compared to produce and artisan vendors, food truck liability insurance policies may be a bit more expensive. This is because there is a higher degree of risk involved with the large trailers and cooking equipment found on most food trucks and trailers. 

Read more about food truck insurance

 How to Get Cheap Farmers Market Insurance

The best way to make sure that you’re getting the best rate is to compare quotes from different insurance providers. Most providers are in constant competition for your business and they’re often willing to “outbid” other companies in your geographical area. 

To find cheap farmers market insurance quotes right now, simply click the ‘Get Quotes’ button below, complete the questionnaire, and compare customized farmers market insurance quotes and coverage options online from the best farmers market insurance companies at your fingertips!