Home Bakery Insurance

Home Bakery Insurance

Home Bakery Insurance That Rises to the Occasion

Your sweet treats bring joy to your customers with each bite. We know how dedicated you are to your craft, and we’re here to help protect your business with home bakery insurance.
 
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Home Bakery Insurance

What Is Home Bakery Business Insurance?

Home bakery insurance is a collection of coverages for small business owners who sell baked goods from home or at farmers markets. Also known as cottage food insurance, this business insurance helps protect against risks like:
 
  • Customer injury
  • Personal injury
  • Property damage
  • Stolen equipment
insurance for selling baked goods

Why Do I Need Insurance for Selling Baked Goods?

Whether you’re icing a cake or fluting a pie crust, you should be focused on your bakery business, not what happens if something goes wrong. With the right mix of insurance protection, we can help cover losses from broken or stolen equipment and even help cover liability claims from the food you make and sell.
small business owner giving testimonial on having baker insurance from The Hartford

Hear From Our Customers

“When looking for my insurances, I chose The Hartford because they made it so simple. Coverage started immediately and I could go ahead and attend those markets, do my porch pickups, and do all the things that I wanted to do with this business with their help.”
– Desiree Ruas, Owner & Founder of The Sourdough Streets

What Risks Do Home Bakers Face?

Operating a small business from home is a labor of love. We understand that when you run a home baking business, you face unique risks like:
 
  • A customer getting sick from an allergy or food poisoning from your baked goods.
  • Equipment failure that results in missing a deadline for a large order.
  • Water damage that causes inventory and ingredient loss.
 

How Much Does Home Bakery Insurance Cost?

On average, our home bakery customers paid $206 a month, or $2,469 annually, for a Business Owner’s Policy.** Also known as a BOP, it combines general liability insurance, commercial property insurance and business income insurance into one policy. Keep in mind that what you pay for business insurance will often vary. There are several different factors that could influence your business insurance cost like:
 
  • The state where your business operates
  • Business income
  • Products and services offered
  • Coverage needs and limits
The best way to find out how much home bakery or cottage insurance will cost is to get a quote.
cottage insurance

We Won’t Make You Wait

We know how important your time is, especially when a last-minute order comes in. That’s why we’ve made it easy for you to get your proof of insurance online.

Covering Your Home Bakery Business’ Operations

From food spoilage to missed deliveries, the risks of running a home bakery business can be intimidating. The Hartford has specially designed insurance for small businesses that helps cover those risks, including customer injury lawsuits that can impact your business’ success.
An estimated 48 million illnesses in the United States are caused each year by foodborne pathogens.2
home bakery general liability insurance

General Liability Insurance

“After I dropped off a cream puff order for a baby shower, my customer called to say many of her guests became sick.”
 
General liability insurance can help cover third-party claims against your business if a client or customer blames your business for their injury. This liability coverage is part of a Business Owner's Policy (BOP) and can help pay for your customer’s medical treatment.
 
home bakery business income insurance

Business Income Insurance

“My mixers and other baking equipment were stolen during a home burglary. I couldn’t fulfill a big order I was counting on to pay the bills.”
 
Business income insurance replaces some of your baking company’s lost income if you experience theft or property damage, such as fire or wind damage.

Help Protect Your Home Bakery Business’ Property

Your baked goods business depends on equipment to mix, make and store your products. Having the right type of coverage in case those tools break or become damaged can help protect your equipment and bring you peace of mind.
Nearly 50% of home fires in 2022 started in the kitchen.3
bakery liability insurance

Commercial Auto Insurance

“I was driving to a client’s home to drop off a cake order when my car skidded on the ice. I ran into the car ahead of me at the stoplight and damaged both vehicles.”
 
Commercial auto insurance helps protect you and your employees on the road while using company-owned vehicles for business.
home bakery commercial property insurance

Commercial Property Insurance

“I ordered a new commercial convection oven. After a few weeks, it caught fire and had to be replaced.”
 
Commercial property insurance can help protect your owned or rented building, plus the tools and equipment you use to operate your business. It covers losses from issues like fires, burglaries and theft.

Taking Care of Your Home Bakery Team

Your team, no matter how big or small, is essential to your home baking success. Help protect your employees from the risks of food preparation with the right types of business insurance.
Studies show that after suffering a burn, an employee will miss an average of 17.5 days of work.4
home bakery professional liability insurance

Professional Liability Insurance

“I sent my baking assistant to get the details for a large order. The client claims there was a big mistake in the amount, and she didn’t have enough cupcakes.”
 
Professional liability insurance helps protect businesses when employees make mistakes in the professional services they’ve provided to customers.
home bakery workers compensation insurance

Workers’ Compensation Insurance

“An employee cut her hand on a food processor blade and needed to go to the hospital for stitches.”
 
Workers’ compensation insurance gives your employees benefits to help them recover from work-related injuries or illnesses. With our coverage, employees can access over 1 million providers and more than 65,000 pharmacy locations countrywide.
 

Bakery Insurance That Has Your Back

We’re an insurance company with over 200 years of experience. We make it our job to know the risks each industry faces so we can offer specific coverages that will help protect each business. We know what’s important to bakers, and our bakery insurance proves that. We’re here to help protect your passion and keep your small business running successfully.
 
Discover more food service-related professions we insure:
 

Home Bakery Insurance FAQs

Cottage insurance, or cottage food insurance, is another name for home bakery insurance. When referring to cottage food laws, each state has rules and regulations that apply to home baking businesses. This type of insurance can help protect you from the risks of making and selling items like:
 
  • Cakes
  • Cookies
  • Breads
  • Pies
  • Jams
  • Candy
  • Granola
  • Coffee
Your home bakery business is all about taking your passion and sharing it. Having an insurance policy can help if something goes wrong. There are several different types of business insurance you may want to consider.
 
Many small business owners start with a Business Owner’s Policy (BOP) that bundles business property and liability insurance into one policy. This means it can help cover claims of bodily injury and property damage to your building, equipment or inventory.
 
You may need to get additional insurance coverage for more protection. The Hartford can help you decide if a workers’ compensation, commercial auto or food contamination policy would be right for your business.
Taking your love of baking to the next level may require additional supplies and equipment. A policy that includes commercial property insurance may cover the cost of repairing or replacing things like:
 
  • Ovens
  • Stoves
  • Mixers
  • Sheeters
  • Mixing tools
home bakery insurance quote

Get a Quote for Home Bakery Insurance Today

When it comes to protecting your home bakery business, you’ll want to partner with an insurer you can trust. The Hartford has more than 200 years of experience, and we understand the unique risks your business faces
 
Find the insurance coverage you need to keep your home bakery business running smoothly.
 
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Last Updated: June 26, 2025
** Costs, premiums, and coverages mentioned are estimates and are not guaranteed. Actual cost, premium, and coverage are determined at the time of quote or issue and are specific to an individual risk. Premiums are based on information provided to The Hartford, including, but not limited to, underwriting and rating criteria. All examples included on this website or in an advertisement are intended for informational purposes only and are not an offer or a guarantee of premium or coverage. Coverage and products described are subject to the terms and conditions found in the policy contract. Any educational information provided about available coverages does not modify the policy language or imply that any claim is covered. Products are not available in all states or for all businesses.
2 USDA, “Foodborne Illness and Disease,” Dec 10, 2024
 
3 U.S. Fire Administration, “Statistics”
 
4 Property Casualty 360, “A Closer Look at Restaurant Industry Claim Trends”
This page outlines in general terms the coverages that may be afforded under a policy from The Hartford. All policies must be examined carefully to determine suitability for your needs and to identify any exclusions, limitations or any other terms and conditions that may specifically affect coverage. In the event of a conflict, the terms and conditions of the policy prevail.
 
All Hartford coverages and services described on this page may be offered by one or more of the property and casualty insurance company subsidiaries of The Hartford Insurance Group, Inc. In Arizona, California, New Hampshire, Texas, and Washington by Hartford Fire Insurance Company, Hartford Casualty Insurance Company, Hartford Accident & Indemnity Company, Hartford Underwriters Insurance Company, Twin City Fire Insurance Company, Pacific Insurance Company, Limited, Sentinel Insurance Company, LTD (CA license #8701), Hartford Lloyd's Insurance Company, Hartford Insurance Company of Illinois, Hartford Insurance Company of the Midwest, Trumbull Insurance Company, Hartford Insurance Company of the Southeast, and Property & Casualty Insurance Company of Hartford and its property and casualty insurance company affiliates, One Hartford Plaza, Hartford, CT 06155.
 
Additional disclosures below.
The Hartford shall not be liable for any damages in connection with the use of any information provided on this page. Please consult with your insurance agent/broker or insurance company to determine specific coverage needs as this information is intended to be educational in nature.
 
The information contained on this page should not be construed as specific legal, HR, financial, or insurance advice and is not a guarantee of coverage. In the event of a loss or claim, coverage determinations will be subject to the policy language, and any potential claim payment will be determined following a claim investigation.
 
Certain coverages vary by state and may not be available to all businesses. All Hartford coverages and services described on this page may be offered by one or more of the property and casualty insurance company subsidiaries of The Hartford Insurance Group, Inc. listed in the Legal Notice.
 
The Hartford Insurance Group, Inc., (NYSE: HIG) operates through its subsidiaries under the brand name, The Hartford, and is headquartered in Hartford, CT. For additional details, please read The Hartford’s Legal Notice.
 
* Customer reviews are collected and tabulated by The Hartford and not representative of all customers.
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