Insurance for Commercial Bakeries
Best in class insurance partners
What Insurance Do Commercial Bakeries Need?
Workers Compensation covers your employees' medical costs and lost wages while recovering from a work-related injury or illness. The employee gives up the right to sue your company in return for receiving cash and benefits from Workers Compensation. In some states it’s mandatory for businesses!
Business Interruption Insurance protects your small business if impacted by a covered risk. It'll cover the costs in replacing lost income and paying for additional expenditures. Also known as Business Interruption Coverage, this policy is usually part of your BOP (Business Owners Policy).
Business Owners Policy (BOP) protects you from business liability and property damage at a lower cost. BOP covers claims resulting from fire, theft & disasters. BOP also covers claims of bodily injury or property damage during your business operations.
Product Liability insurance covers your business if you need to recall one of your products. It covers your costs for retrieving the defective product from the manufacturer or seller to prevent any further bodily injury or property damage.
Frequently Asked Questions
Why do Commercial Bakeries need insurance?
Companies in this industry produce fresh and frozen bread, rolls and other fresh baked products. These establishments do not handle cookies and crackers.
Running a business comes with risks, and these risks can instantly destroy your business if you don't have insurance. Your insurance will cover the costs of property damage, personal injury, bodily injury, liabilities and lawsuits that would be financially devastating without an insurance.
What risks do Commercial Bakeries face?
Even a commercial bakery cannot ignore potential risks that should have proper management procedures in place. One risk in commercial bakeries is customer and employee health. A simple baking method handled poorly can be detrimental to the health of workers or even customers. Poor management of baking materials could cause contamination, then food poisoning to customers. Improper care of equipment or your shop could develop bacteria, cross-contamination, and other potential hazards.
Your building could be burned down or flooded, destroyed by an earthquake or natural disasters. You would need a lot of money to recover from fire or flood. Also, the time needed to rebuild will be the time that your business production will stop. These are just some of the many risks commercial bakeries face.
How much does Insurance cost for Commercial Bakeries?
The cost of the insurance for commercial bakeries varies on the location of the bakery, size, services, revenue, and many other factors. We cannot give you a direct cost for your business but what we can give you cost estimates for the policies that might fit your budget.
- Business Owners Policy (BOP) combines General Liability and Property insurance. It usually costs from $500 to $1500 in annual premiums.
- Depending on your state and number of employees, you may need Workers' Compensation and this usually costs around $1,900 to $7,000 in annual premiums.
- If you need to add extra onto your limits, Umbrella insurance will cost around $500 to $1000 in annual premiums.
To get a quote for your insurance, apply online for a free quote or simply contact our customer service representatives.