As a candle maker, your business is exposed to unique risks that require a bespoke insurance policy to cover effectively. LiabilityCover can help you find the best insurance provider at the perfect price to ensure complete protection.
Below, we’ll introduce you to the types of policies you may need and explain exactly how we can help acquire them.
Insurance Policies for Candle Makers
There’s no denying that candles look and smell fantastic. But the tiny flame atop each one can bring some rather large lawsuits.
Your customers trust your expertise to make an effective and safe product. But unfortunately, even the most cautious makers are prone to accidents. And that’s why you need to protect yourself, your business, and third parties with candle maker insurance.
What Is Candle Maker Insurance?
Candle maker insurance is a policy bundle designed to protect your business against risks associated with selling or creating candles and similar products like incense sticks and wax melts.
We analyze your insurance requirements to connect you with industry leaders specializing in providing coverage to candle businesses like yours.
What Does Candle Maker Insurance Cover?
The term “candle maker insurance” refers to a bunch of policies that protect your business.
Normally, a comprehensive candle maker policy package includes the following:
Commercial General Liability Insurance (CGL) Coverage
Commercial general liability insurance is a standard policy protecting against common risks you may encounter while running your business. These risks can include:
- Third-party bodily injury (e.g., from slips and falls)
- Third-party property damage (e.g., breaking something while selling at your client’s home)
Usually, the policy covers legal expenses and medical costs, whether you win or lose the lawsuit.
Commercial Property Insurance Coverage
Commercial property insurance provides financial coverage for your business location and its contents. For instance, if a fire breaks out and burns your inventory, your commercial property insurance policy will cover the costs of replacing your stock.
Additionally, it often includes business interruption coverage. This clause compensates you for the net income you lose after an unforeseen temporary closure. Just keep in mind that it won’t cover income lost due to pandemics, government-mandated closures, or infectious diseases.
Product Liability Insurance
Product liability insurance is perhaps the most important for candle makers like you. It protects against claims alleging that your product caused:
- bodily injury, such as burns from an ignitable candle.
- property damage like wax stains on a carpet.
Damages traditionally covered under the policy typically pertain to design, marketing, or manufacturing issues.
Cyber Liability Insurance
Cyber liability insurance protects your business from the costs associated with data- and system-related cybercrime.
If you store your customer’s data (especially financial information) on a computer system or in the cloud, hackers can steal it. The insurance policy provides coverage for the damages, containment, legal, and notification fees necessary to deal with the situation.
Do Candle Makers Need Insurance in Canada?
Anybody who makes and/or sells candles or candle-related products should seek protection from industry-specific risks with a specialized insurance package.
We’ve got years of experience pairing Canada’s best insurers with arts and crafts entrepreneurs like you, including:
- Soap makers
- Incense and essential oils distributors, sellers, and creators
- Home decor businesses
- Candle and wax melt makers
- Gift baskets and hamper businesses
- Art supply vendors
- Craft vendors
How Much Does Candle Makers Insurance Cost?
Basic candle makers insurance starts at $510 per year for a CGL policy with a $1 million coverage limit. But we work with the leading insurance providers in Canada to ensure you get the best deal.
Premium prices vary wildly depending on several factors, including:
- Candle types — Flameless candles (e.g. wax melts) present fewer risks than ignitable candles. Thus, you benefit from lower insurance premiums.
- Your annual and forecasted revenue — If your business makes a lot of money compared to your competitors, there’s more at stake when a client takes legal action. Therefore, you’ll pay more for insurance to make up for the additional risk.
- The manufacturing process — Some processes are riskier than others. You might be able to lower your premium if you can demonstrate you’ve taken positive action to reduce the occupational risks (i.e., enforcing PPE rules).
- Your location — Some areas are prone to crime and harsh weather conditions. Operating from these locations increases your insurance premium price.
- The number of employees — The more people working for you, the higher the chance of making mistakes.
- Your previous insurance claims — Usually, candle makers with a clean insurance claims history benefit from lower premiums than those who’ve previously claimed.
- Your experience — With experience comes knowledge, and with knowledge comes a lower likelihood of mistakes and lawsuits. As you continue to grow your candle-making business, your insurance premiums typically decrease.
Why Choose LiabilityCover for Your Candle Makers Insurance Needs?
Our team is well-versed in connecting arts and crafts businesses like yours to highly acclaimed licensed insurance providers in Canada.
We have excellent working relationships with our insurers, enabling us to find you the best deal. All you have to do is complete our short inquiry form or call our toll-free number to start the process — we do all the hard work!
Frequently Asked Questions
Do Insurance Costs Rise When You Sell Candles with Wicks?
The risk of fire increases when you sell candles with wicks or other ignitible products. Therefore, you may pay a higher premium than those who sell flameless candles like wax melts.
However, many factors influence your specific price, as we discussed earlier.
Does Home Insurance Cover A Part-Time Candle-Making Business?
Your home insurance typically won’t cover you for any risks related to your products. Plus, the policy likely won’t include any specialized candle-making equipment, so you’ll need commercial property and product liability insurance coverage to ensure complete protection.
Should You Get Insurance If You Sell Candles Online?
Regardless of how you sell candles (online or from a brick-and-mortar store), you’re liable for the same risks.
When you use LiabilityCover, we analyze your specific insurance requirements to ensure you only pay for the policies you need.