Safety and Insurance Tips for Artisan Food Producers

As a member of the food industry you spend a lot of time ensuring that the product you create is not only of good quality as it pertains to taste and appearance but is also safe.  It is just as important that as a part of that process you understand the quality and safety of the inputs you use but also understand and manage the transfer of risk between you and your vendors.

1.       When at all possible visit the manufacturer or farm producer.  This can reveal a lot in terms of their safety and practices and can prevent a lot of trouble going forward.

2.       Be sure you are indemnified from third party claims as it pertains to losses stemming from the producer’s negligence.

3.       Be sure your vendor has product liability insurance and not just general liability insurance and that you have additional insured status on the policy for product liability insurance.

4.       Add contingent business insurance so that should a key vendor be out of business you can have coverage for the loss of business that might be associated with it.

5.       Identify clearly in the contract when you become the owner of the product and be sure your insurance covers the property from property damage causes of loss.