Do You Need Insurance to Sell Your Handmade Items?
Updated: May 27, 2020
Do you need insurance to sell your craft on Etsy?
There are two major types of insurances that you'll need (they usually come together hand-in-hand when you take out a policy):
Product insurance. This will cover you if something goes wrong with your product. For example somebody gets injured by wearing your jewellery or cracked pottery or a child chokes on a broken piece of decoration etc.
Public Liability Insurance. This is needed if you ever take your products to a fair or to a workshop, or if someone comes to your house to see or buy your products. This is to cover things like if someone trips over your stall, or you cause fire by accident. Most craft fairs and markets will have this as a requirement for you to even apply.
If you have your workshop or special equipment in your own home or you keep stock of considerable value (e.g. precious metals), you might even need to inform your home insurance to take that into the policy (it will not necessarily increase your fees).
If you are an artist and are member of an art association, you might get free insurance through the association, so it's worth looking into this possibility.
Here is a good summary article about insurance:
DISCLAIMER: I am not a financial advisor or legal expert. What I share here is my own private opinion. For financial (including tax, accounting) or legal advice please turn to official experts in those fields. For the latest official Etsy policies contact the Etsy support team.
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