Campbell Risk Management offers a liability insurance program to farmers market vendors. The policy provides producers with group rates for $1 million in general and product liability per occurrence with a $2 million annual aggregate limit and a zero deductible, covering a producer’s participation in all markets. The policy is $350 for producers generating less than $100,000 annually from farmers market sales.
For more information about the program, please read the FAQ below, or visit Campbell Risk Management’s web site.
Frequently Asked Questions (FAQ)
I’m a vendor. How do I apply to purchase this insurance policy?
Visit this link or contact Larry Spilker at lspilker@campbellrisk.com
How does a producer pay their premiums? Does my organization need to handle the applications?
Premiums are paid annually directly to Campbell Risk Management, which manages the applications and annual renewals, and processes all claims. Once coverage is extended, the premium is fully earned and non-refundable.
Does Campbell Risk Management offer a general liability policy for farmers markets?
Not at this time. Campbell Risk Management is working on a program for general liability for the actual markets and hopes to have a program in place for the 2011 season.
How many farmers markets can a producer add to the policy as an additional insured?
CRM has added an endorsement to the policy for blanket additional insured. There is no limit or cost for certificates. In the event of a product liability or general liability suit where both parties are named, the market is covered. In the event of a product liability or general liability suit where the market or any additional parties are named, all parties named in the suit are covered. This also allows the vendor to only need one certificate of insurance that specifies blanket additional insured.
What is the turnaround time from application to having a certificate and policy sent?
From the time an application is submitted, a vendor policy and certificate should be mailed to them within two weeks.
What kinds of products can be covered by this policy?
The products covered include anything seen in the normal scope of a farmers market, even items such as mushrooms, homemade cosmetics, home-processed poultry or other meats, eggs, dairy, and crafts. Provided that all applicable federal, state, and local permitting procedures are being followed, these are all considered within the normal scope of a farmers market and would be covered. Examples of items not covered would be alcohol and fireworks. On the application, producers will list all products intended for sale. If the products being offered are outside the scope of a farmers market, the producer will be contacted directly to discuss other coverage options. Liquor liability is NOT currently covered under this policy, although alcohol liability coverage may be available from Campbell Risk Management at a future date.
What if a market I want to sell in requires more than $1 million in coverage?
The program parameters are currently set up for $1 million per occurrence with a $2 million annual aggregate. For those needing higher coverage, an additional $1 million umbrella is available for $450 per year.
What if I generate in excess of $100,000 in annual sales at farmers markets?
The cost of the policy will increase at a rate of approximately $5 per additional $1000 of sales.
Is this program available in all states?
Thanks to the support of the Farmers Market Coalition, we have been successful in getting approved to offer this policy in every state (except Hawaii and Alaska, although we hope to be able to include them by 2011). The cost of the program is $350 per vendor in all states except for two, California $425, and Florida $250. In addition to the premiums stated there are a few states that charge an insurance premium tax that would be a small addition to the premiums stated above.
Will this program cover me for sales that I make from on my personal farm location?
This insurance program is location-specific to provide coverage for producer sales at farmers’ market locations where they sell their products. Sales made on the producer’s farm are not part of this policy coverage and should be picked up as part of their farm policy.
If a farmer already has a rider on their farm policy covering their sales at the market, why should they get this in addition to or instead of the rider on their farm insurance policy?
Many farmers are getting this policy and dropping the rider on their farm policy which provides coverage for off-the-farm sales at farmers markets. One reason for doing this is that a separate policy provides an extra layer of protection for a minimal $350 premium and protects the farmer’s whole farm insurance premium from any rate increases due to a claim made for product or general liability related to sales at farmers markets.
If you have feedback about this resource, please contact us at FMMN.
The Ohio Farmers' Market Handbook: