Insurance for Needlework and Sewing Businesses

If you have a passion for needlework or sewing, then creating a designated business may be a viable business option for you.

If you currently own and run a sewing business, no matter what you make, it is vital that you have the correct level of insurance in place as soon as possible.

What insurance do you need for a tailoring and sewing business?

Whether you plan on selling your tailoring and sewing products online, at craft fairs or in your own shop, it is vital you have the correct level of insurance in place.

The main reason to have insurance is to make sure your business is not held financially liable if a customer has an incident with or involving your products.

Our insurance policy covers the two main types of insurance that your business is likely to need.

Public Liability Insurance

Public Liability Insurance covers claims made against your business from the general public. Your business will be protected from extensive compensation costs that may arise as a result of your products.

The main risks covered by this type of insurance include death or disablement of the public, and loss or damage to third party properties.

Product Liability Insurance

Product Liability Insurance covers your products through the production, supply and sale process. Your business will be protected from potentially unexpected and unwanted costs should an issue arise as a result of your goods, processes and packaging.

What crafts does a needlework business include?

At CraftCover, we provide cover for a variety of different needlework businesses, including those which produce crafts such as:

  • -Crochet
  • -Cross-stitch
  • -Embroidery
  • -Knitting
  • -Needlepoint
  • -Dressmaking
  • -Tailoring
  • -Patchwork
  • -Quilting
  • -Applique
  • -Sewing
  • -Stump work

Is insurance a legal requirement to sell handmade goods?

Whilst having insurance isn’t a legal requirement to sell your handmade goods, it is still vital that you have it in case any claim or unforeseen circumstance was to happen against your business.

Even if you don’t see yourself as a big business, you are still just as open to legal action as a large company is.

You can read our blog on how to ensure that you are selling homemade crafts legally for more information.

Do I need insurance to sell sewing goods at a craft fair?

Yes, when you attend a craft fair, it is mandatory that you have the correct level of public and product liability insurance. We can provide craft fair insurance automatically, as well as additional cover options should you need them.

As a stallholder at a craft fair, you should be aware of the potential risks to your products and the general public when selling crafts. If a member of the public is injured or their property is damaged, they may take legal action against you which is why having the right level of craft insurance is a must.

We also have a one-off craft fair insurance policy, which is ideal for those dipping their toes into the craft fair scene.

How much does it cost to insure a sewing business?

The cost to insure a sewing business can vary based on several factors, including:

  • -The products you make and sell
  • -The size and location of your business
  • -The level of cover you require
  • -Your excess costs

At CraftCover, we can tailor a specific policy for you. Whether you produce handmade knitted clothing accessories or decorative cross stitch frames, we will make sure you have the right level of cover at an affordable rate.