I make craft items to sell at fairs and craft shows. Why won my homeowners policy cover them?
This activity brings up a whole can of worms, and a lot of issues that most people probably never think about. As far as the general public seems to be concerned, anyone at a craft fair is a business person, not just some well meaning grandma who likes to sew. As discussed under the in-home business, a homeowner’s policy can’t respond to a person who makes and sells craft items in the home. Look at the worst case scenario– You make a decorative teddy bear. A customer buys it. The grandchild comes over, removes one of the button eyes and swallows it, choking to death. You can bet that the parents are going to go after whoever made the bear and was negligent in not sewing on the eyes with metal cable or something. You might be able to endorse this exposure onto your homeowner’s policy. I have one company that will. It does not, however, pick up the exposure for the products, but it is a cheap “band aid” to the problem of organizers wanting a certificate of insurance before you exhibit.
