Insurance for small online pet product business?

laureno

Hi all,
In the very early stages of a new start up. Will be buying pet products from manufacturers and wholesalers and selling them online on eBay to start with. These products to start with will be mainly things like dog harnesses and leads and beds, maybe some toys. Generally a wide range of accessories for mostly dogs and cats. We're trying to work out what insurance we may need going forward; we've been reading about Public Liability insurance but can't find any specific answers about our type of business. Any input would be greatly appreciated, thanks
Lauren

lincroft1710

Also look at Product Liability insurance

Aquamania

Care of less than 30 seconds on google.

https://insuranceoctopus.co.uk/business-insurance/internet-traders-insurance/

phill99

Go to a specialist business insurance broker. There are thousands of businesses like yours out there all with insurance.


Public Liability is for things like entertainment venues etc where people could have a trip on a damaged floor and be injured. You will need product liability insurance.
https://www.simplybusiness.co.uk/insurance/product-liability/

martindow

Have you looked at what profit you can make compared with established and large competitors? They will make large orders with deep discounts and you will possibly find it impossible to compete on price.


You need a niche or a different angle to encourage people to buy from you rather than a familiar name.


Good luck, but do your sums with all of your expenses before you invest too much money.

Mistral001

Only employment insurance is legally required, so any other insurance that you get is a business decision based on how you perceive the risk.

Public liability insurance is the most common type of business insurance and all bricks and mortar retail businesses would be advised to get it. It is difficult to think of a time when public liability insurance would be needed for an online business. If you packaged your goods carelessly meaning that a customer was cut when opening one of them, then possibly you might have a claim for damages, but then how likely is that and will a cut finger attract a claim that you could not afford to pay?

Often risks can be easily mitigated, making insurance totally unnecessary. For example, most corner shops will have a small stand-by generator as that is cheaper than paying for insurance to cover for frozen food damage caused by electricity outages.

Sometimes your biggest risks may not come from where you think they will come from. For instance, if your website offers advice to prospective customers then, you might be advised to take out professional indemnity insurance.

Aquamania

Mistral001 wrote: »

Only employment insurance is legally required, so any other insurance that you get is a business decision based on how you perceive the risk. ...

A sole trader who does not employ anyone else does not by law need employers liability insurance

(the same would go for a limited company run by a single employee/director who owns 50% or more of the share capital)