Insurance for
Bakeries

Running a bakery isn’t just about baking tasty treats. There are plenty of things that can cause headaches if you’re not prepared:

• Slip and falls: Wet floors, spilled flour, and tight spaces can cause customers or employees to slip and get hurt.
• Food safety issues: Mistakes with food storage or handling can make people sick which could lead to big problems.
• Allergies: If ingredients aren’t labeled right or things get mixed up someone could have a serious allergic reaction.
• Kitchen fires: Ovens and fryers can start fires if you’re not careful.
• Property damage: Bad weather, fires, or accidents can damage your building, ovens, and ingredients.
• Lost business: If something like a fire or storm forces you to close for a bit you could lose income.
• Employee injuries: Working with hot ovens and sharp tools means your team could get hurt on the job.
• Theft: Unfortunately theft by employees or strangers can happen.
• Spoiled goods: Power outages or broken refrigerators can ruin your ingredients or baked goods.
• Delivery accidents: If you deliver your vehicles and drivers face their own risks on the road.

What Insurance Should You Have?

Here are the types of insurance every Texas bakery owner should consider:

Must-haves if you deliver:

• Commercial auto insurance: This is required by Texas law if you use vehicles for deliveries.

Highly recommended:

• Workers' compensation: Covers your employees if they get hurt at work and helps with their medical bills and lost wages.
• General liability insurance: Protects you if a customer slips, gets sick from your food, or if your bakery causes property damage.
• Property insurance: Covers damage to your building, ovens, furniture, and ingredients.
• Business interruption: Helps replace the money you lose if your bakery has to close temporarily because of a fire or storm.
• Food spoilage: Covers losses if power goes out or your refrigeration fails and food spoils.

Other good-to-haves:

• Cyber liability: If you take credit cards or keep customer info this helps protect you from data breaches.
• Equipment breakdown: Helps cover repairs or replacement if your ovens or refrigerators break down.
• Employee dishonesty: Covers losses from theft or fraud by employees.
• Umbrella insurance: Adds extra protection on top of your other policies for big claims.