INSURANCE FOR CROCHET & KNITTING
AMC INSURANCE PTY LTD
INSURANCE FOR YOUR CROCHET & KNITTING BUSINESS
While several insurers claim to offer insurance for crocheting and knitting businesses, most do not cover your business for garments or amigurumi (toys). AMC Insurance is committed to finding a solution for crafters who want to sell these items within Australia.
We are working with a select group of insurers to negotiate competitive Public & Products Liability cover that includes the manufacturing of crocheted and knitted fabrics and plushies (as well as sewn fabric toys).
Our experienced team will work with you to tailor a policy to protect you from liability while aiming to achieve competitive premiums. We’re dedicated to guiding you through the whole insurance process, providing clear and friendly advice every step of the way.
WHAT DOES INSURANCE FOR CROCHET & KNITTING BUSINESSES COVER?
There are specific types of insurance available to protect your crochet or knitting business:
- Public Liability covers you for any accidental injury or property damage caused to third parties by your business activities. An example of a situation covered under this type of policy would be a customer tripping over display items at a market stall.
- Product Liability protects you against claims arising from injuries or damages caused by your crocheted or knitted products themselves. This is particularly important if you sell items that could potentially pose a risk such as toys for young children (like amigurumi). An example of a situation covered under this type of policy would be a child swallowing a safety eye that came loose from an amigurumi plushie.
These two policies are essential for protecting your business from potential legal and financial liabilities.
HOW DOES THE COVER PROTECT MY BUSINESS?
Public & Product Liability insurance provides legal defence costs for your crochet or knitting business. It covers you in situations where a third party suffers injury or property damage due to your business activities.
If a claim is made against your business, the insurer will appoint a lawyer or loss adjuster to investigate the incident. They will assess the validity of the claim and determine if it is covered by your policy. If the claim is covered, the insurer will cover your legal defence costs and any damages or settlements where applicable.
Public & Products Liability insurance provides vital protection for your crochet or knitting business by covering the costs associated with defending yourself against potential claims. This is why it’s so important to ensure that you’re actually covered for the products you are selling.
HOW MUCH WILL PUBLIC & PRODUCT LIABILITY COST?
For most customers, the premiums will be dependent on what types of products you are creating. Items like toys are a bigger risk, so they will incur a larger premium than a lower-risk item like adult clothing.
In some cases, the amount of money you generate from the sale of your products can also influence the pricing.
An advantage to the policies we can access is that most will automatically cover market stalls. If this is the case, you won’t need to negotiate a standalone market stall insurance product. Keep this in mind as it can reduce the overall costs of insuring your business as you’ll no longer need to cover the cost of standalone market insurance.
To date costs betwen $1,100 – $1,500 (inclusive of all charges) are being offered by the insurers we work with for $10M Public & Products Liability that extends to cover the sale of crochet toys (e.g. amigurumi).
WHAT INFORMATION IS NEEDED TO OBTAIN A PUBLIC LIABILITY AND PRODUCTS LIABILITY QUOTE FOR MY CROCHET & KNITTING BUSINESS?
We work to negotiate quotes based on the information provided by you on our Proposal Form. Some insurers may request additional information, which we will contact you to discuss separately.
It is important that you fully complete the proposal form so that we can accurately assess your risk exposure and negotiate appropriate cover on your behalf.
WHY DO I NEED A BROKER TO OBTAIN THE INSURANCE?
Based on our investigations, there are no direct insurance companies (e.g. AAMI, Allianz, CGU) that will quote cover for a crochet and knitting business. This is primarily because they consider you a manufacturer as you are creating the products you sell. Direct insurers typically only provide quotes to retailers.
There are some existing markets, including online agents, that offer crafting insurance. Unfortunately, most (if not all) do not cover toys and garments. If you do obtain quotes from these markets, it’s imperative that you read any exclusions thoroughly and ask questions if you’re not sure what’s covered. Typically, a quote for $500 or under is not going to offer cover without extensive exclusions (like toys and garments).
Most of these online agents work on behalf of the insurance company. Our point of difference at AMC Insurance is that we are a broker. This means that we work in the client’s interest; you and your business are our primary concern, not the insurer’s bottom line. We will also process any claims that may arise and can give you ongoing advice on coverage and risk management.
If it sounds like working with AMC Insurance may be right for your small crochet or knitting business, please complete our Proposal Form by clicking the link below:
Alex Conlon
Director | M: 0409 092 947 | E: alexc@abterrace.com.au
TO OBTAIN INSURANCE FOR CROCHET AND KNITTING SERVICES PLEASE COMPLETE AND RETURN THE BELOW FORM TO: ALEXC@ABTERRACE.COM.AU
Estimated costs being quoted by the insurers we have found solutions for $10M Public & Products Liability that include the sale of crochet toys (e.g. Amigurumi) is between $1,100 – $1,500 (inclusive of all chagres). This includes cover for market stalls,.