Vendors are typically required to provide proof of vendor liability insurance when setting up at major flea markets, whether they sell food or hat pins. Vendor insurance policies are designed for small businesses that operate on a short term basis in locations that are not necessarily permanent. While liability insurance protects vendors from claims resulting from accidents on the flea market premises, there is also interest in property insurance for the equipment used to complete a sale. Here are a few questions to ask both yourself and a potential insurance provider to be sure you have the right type and amount of coverage for your booth.
What does your flea market require to be covered? If there is a set dollar amount or type of liability insurance that the market necessitates, find out what the details are before going on the prowl for a policy.
How much time do you spend at the flea market? An insurance agent will likely ask you this question, as it makes a difference in terms of what type of policy you need. If you’re looking for coverage during a single weekend event, make sure that any quotes you request reflect the length of time you spend at your booth.
In what state(s) do you run your booth? Some policies may only cover one state, and if you travel over state lines for various markets, look for insurance that accommodates your vending style.
What types of booths does this provider cover? Not all insurance companies will cover every type of vendor under their policies. If your booth carries knives, nutritional supplements or other similar merchandise, make sure that the carrier you choose does not consider your wares ineligible for coverage. In addition, some companies place limitations for completed operations, meaning coverage only extends to claims resulting from products sold to the customer. If applicable, you may wish to ask whether or not a policy’s effective start date can be backdated, especially if you’ve recently moved or started selling at a new market that your old policy didn’t cover.
How does this compare to other possible vendors’ insurance providers? After you’ve identified a few candidates for your vendors’ insurance policy and obtained as much information as possible about each, compare your options. Remember to compare quotes, as well.
What other equipment do you have that may need to be insured? Aside from liability insurance, remember to insure any devices you use at the market, particularly smartphones and card readers. If you haven’t begun accepting mobile payments at your booth but are considering doing so soon, ask about your options, and always remember to back up any data about your business to the cloud or a hard drive for safe storage.