Insurance for selling through a website

[FairlyGirly]

Hi,

I believe you need to have insurance for selling products through a website. Can anyone recommend one that doesn't cost too much. Only starting up and not sure if I will get many sells, so trying to keep the costs low. Any help would be appreciated.

[steve-bead]

Hi,

Provided you only sell via the web, so no-one visits your or anything, then you are probably only looking at product liability insurance.

Because you supply a product, then if someone was to be injured by it or whatever you might need this protection.


There is some debate, when selling stuff made by others, that the manifacturer needs the insurance, not the seller, as you did not make it.

As far as I can see this is a bit of a grey area, and any other input would be welcome on this.

This is from the 'web'

"What is Product Liability Insurance?

If you manufacture goods and supply them to a third party and these goods are found to be faulty or defective in any way and subsequently cause damage or injury to another person or their property you could be liable to pay the costs of a claim made against you.
In some cases even if you don’t manufacture the goods and just supply them to third parties and they are found to be faulty you could still be liable if you are associated closely enough with the products. For example, if your name is one the goods you supply or the manufacturer has gone out of business you could still be liable."


In terms of cost, there are lots of 'comparison' sites for this on google - just whack in 'product liability insurance'

Just did this myself quickly and it came out at £60 a year

Oh - forgot to say that there is now law that says you have to get this insurance, but like most such products, its a good idea.

As far as i am aware, you can start trading without any insurance at all (i think you legaly need employers insurance if you employ others, but thats about it)

Hope this helps

Steve

[FairlyGirly]

Thanks Steve for the information. It looks as though I am going to need the insurance. Just hope I then make enough sales to cover the cost:)

[craftynclothy]

Ian Wallace always seems to be recommended on here and their quote for me was about 60-odd quid. However in the end I went with Manor Insurance (a brokers that offers home workers insurance) as it had a few extras that I wanted.

It covers product liability and public liability (good for craft fairs - sometimes the organisers require you to have it), stock on the way to/from craft fairs, legal cover & business machines such as my sewing machine.

Think it was about £110-£120 ish and it also covered more fairs than the Ian Wallace one.

[rhulme]

:playball:what about market traders ass for it as this will cover you doing craft fairs and markets thats who i am with £74 per year just getting mine renewed this month

[steve-bead]

Hi all,

Good idea about picking up public liability for attending craft fairs, it does at least put another string on you bow.

All the best

Steve

[BeadsbyLili]

Hi,

I believe you need to have insurance for selling products through a website. Can anyone recommend one that doesn't cost too much. Only starting up and not sure if I will get many sells, so trying to keep the costs low. Any help would be appreciated.

tip re web insurance: make sure that your policy covers the geographical area you want to sell to - i.e. many policies have limitations and selling worlwide (on the web) can be more expensive.

[FairlyGirly]

Thanks all for your replies......I didn't think about restricting the area I sold to, definately worth a thought to keep the cost down as I will only be marketing in the UK.

Just had a quick look at Manor Ins. They do combined policies with your house ins and as ours is due for renewal it may be worth giving them a try to see if it makes the bus part any cheaper for me. Will give them a ring on Fri and get a quote for with and without. I'll let you know how I get on for any others who might be interested as well.

[Fuchsia Fairy]

ohhh you know I had not even thought about insurance. There have been one or two moments when I've gone 'oh I wonder if' and then forgotten all about it, like when an earring got broken by a customer. Other than that I cannot for the life of me imagine anyone getting injured by a handmade card :D but am definitely going to look into it now anyway...thanks for the lil prompt I obviously needed it!

[BlueShedCrafts]

I have Product and Public Lilability Insurance with G M Imber (Google them). They do a great policy called CRAFT INSURE STARTER for just £50.00 a year. It will give you cover for selling online to countries within the EU and the UK and for selling at Craft Fairs etc.

It does NOT cover you for selling to USA or Canada. I can't find cover to do this for less than a starting price of £1000.00 and wrote to GM Imber to ask why. It's because in those Countries more claims are made and more money is asked for apparently. Sad, but true.

[craftynclothy]

Yep, mine doesn't cover USA either for the same reason.

[FairlyGirly]

BlueShed, Thanks for the info. It is the G M Imber policy I have decided to go with. I spoke to them and they cover selling through a website and at craft fairs as long as you don't sell to the USA and Canada which isn't a problem for me. There is also no limit on the stalls which is ideal as I am thinking of having a market stall in the run up to Christmas, with the hope of doing some fairs throughout the year. If I can find any details of ones not already booked up for jewellery!! The price at £50 is very reasonable as well, for someone starting out, when you don't know how many sales you will be making!

[FairyAlchemy]

Hi my insurance covers worldwide, most insurances do as long as you state that you are selling under uk legislation.:p

[BlueShedCrafts]

That's great!