The short answer: probably, yes
If you sell even one item - at a market, online, or to a friend of a friend - you could be held liable if something goes wrong. It doesn't matter how small or "just a hobby" it feels. The moment money changes hands for something you've made, you're a business in the eyes of the law, even if it's not your full-time job.
Why your home insurance may not cover it
Standard home insurance is built to protect your home and belongings - not a business operating out of it. Most policies specifically exclude business activity, which means:
- If a customer is injured by something you made, you're not covered
- If your stock or materials are damaged or stolen, you're not covered
- If a delivery goes wrong or a product is damaged in transit, you're not covered
In some cases, running an undeclared business from home can even affect your existing home insurance policy altogether.
What could actually go wrong?
It's easy to think "nothing's ever gone wrong so far" - but a few common scenarios show how quickly things can turn:
- A candle you made causes a fire in a customer's home
- A necklace clasp breaks and causes an injury
- A batch of soap causes an allergic reaction
- Your stock is damaged or destroyed before it even reaches a customer
- Something breaks in the post and the customer wants a refund - or worse, takes it further
None of these are rare, dramatic scenarios - they're everyday risks of running a craft business, and without cover, you'd be paying for them entirely out of pocket.
What kind of cover do you need?
For most home-based makers, the essentials are:
- Public liability - covers you if someone (a customer, a visitor, a fellow stallholder) is injured or their property is damaged because of your business
- Product liability - covers you if something you've made causes harm or damage after it's sold
- Accidental damage - covers spills, breakages, and mishaps to your stock or equipment while you're working
- Stock cover - protects your materials and finished products, including while in transit
You don't need to be running a "proper" full-time business to need this - even a side hustle or weekend market stall carries the same risks.
Do I need it if I only sell occasionally?
Yes. Insurers and the law don't distinguish between "occasional" and "full-time" sellers - if you're exchanging goods for money, you're liable for what happens next, however often you do it.
The bottom line
If you make and sell anything from home, proper cover isn't an optional extra - it's what protects you, your income, and your customers if something goes wrong. The good news: it doesn't need to be complicated or expensive to get right.
Made at Home Insurance is built specifically for makers like you - no jargon, no unnecessary cover, just protection that makes sense for your craft.
Get a quote today here: https://www.madeathomeinsurance.com/quote
