Comparing vendor insurance providers is similar to comparing generators, camera lenses, or software. The best vendor insurance will allow you to protect your business, meet event requirements, and give you peace of mind.
How to Compare Vendor Insurance Providers
- Know what you need
- Gather quotes
- Evaluate coverage details
- Check out customer reviews and claims
- Look for understanding of your needs
- Review terms and exclusions
- Think about value vs. price
Give yourself enough time to gather quotes and analyze your top options. We want you to feel confident that you have the right vendor insurance in place to protect your business and finances.
Know Your Insurance Needs
The first thing you should do is clearly define what you need from your policy. This may include:
- Specific types of coverage
- Certain coverage limits
- Protection tailored to your business type
- Coverage at particular events
- Access to an instant Certificate of Insurance
- The option to customize your plan
- The ability to add additional insureds
In addition to must-haves, identify your nice-to-haves. The best vendor insurance provider for you may be the one with positive reviews, easy purchasing options, and online policy access 24/7.
Get Quotes From Multiple Providers
Gathering quotes from more than one provider gives you more options to fit your needs and budget. Depending on the provider, the process for getting a quote could be to:
- Fill out an online application and get an instant quote
- Apply online to receive a quote by email or phone
- Call and speak to a sales agent or customer service representative
- Work with a local insurance agent in person
You can also research the general coverage information and pricing listed on a provider’s website. By the way: If basic information about policies or prices is hard to find, it could be very telling of how easy the provider is to work with (spoiler: not good!).
Compare Coverage Details
Carefully review and compare the coverage details of each vendor insurance policy, paying close attention to:
- What types of coverage does it include (e.g., general liability, damage to rented premises, medical expenses, professional liability, and so on)
- How much it costs
- What optional coverages are available
- The limits of each coverage
Also, compare the coverage details with any vendor insurance requirements you need to meet to sell or exhibit at a specific event or venue.
And don’t be surprised if you run into terms you don’t understand. Most insurance policies contain jargon that makes sense to agents and lawyers, but not always to a vendor that just wants to know their business is protected! Case in point:
“What the $#&% does that mean?!”
Aggregate = Total amount per policy
Per Occurrence = Total amount per claim
How Much Does it Cost?
The one answer virtually everyone wants to know: how much will vendor insurance cost me? On average, a short-term general liability vendor policy will cost $50–$200 per event.
What Are the Liability Limits?
Liability limits are the maximum amount a policy can pay for a claim (per occurrence) or during a policy year (aggregate). Some providers advertise cheap vendor insurance — but when you look at the limits you’ll see it’s not a good value or the coverage won’t meet your requirements.
Another factor to consider here is shared limits. A provider offering shared limits puts your policy in the same claims bucket as everyone else they insure. If other policyholders deplete the shared limits, you could end up financially responsible for an expensive claim that would normally be covered.
Are Excess Limits Available?
Maybe you really like a certain insurance provider’s vendor policy, but the limits don’t match the requirements you have to meet for an event. Sometimes you can pay an additional fee to increase your limits. This is known as excess liability limits.
Assess Customer Reviews & Claims
As with any other purchase, check reviews and find out what the company is like to work with before you buy insurance:
- Read customer reviews
- Check out customer testimonials
- Source info from sites like the Better Business Bureau (BBB) or Google Business Pages
- Contact customer service to see if it’s easy to reach someone and what the experience is like
What Is the Claims Process?
If you have to file a claim, a responsive and helpful customer service team is crucial. Look for:
- How to file a claim with the company
- How long it takes to process
- A general idea of how the claims process works
- How likely it is they will cover your claim
What Type of Customer Service is Available?
You can get a good idea of an insurance provider’s customer service by looking for the following information:
- Can you easily find contact information?
- What methods of contact are available?
- What time is support available?
- Can you talk to a rep by phone?
- Do the available contact options work well for you?
The service you receive can make or break your experience as a customer. If you don’t feel confident in the insurance provider’s customer service, they may not be the best fit for you.
Look for an Understanding of Your Needs
You can tell if an insurer understands your unique needs if they:
- Make policy information clear and understandable
- Offer coverage tailored for vendors
- Provide multiple policy options
- Give you the chance to customize your policy
- Use terms and phrases relevant to your industry
- Share relatable claims examples and tips
Would you take advice about buying a car from someone who’s never driven one before? Chances are likely no. So why get vendor insurance from someone who doesn’t know about your risks and insurance needs?
Review Policy Terms & Exclusions
Make sure you fully understand the policy you are buying before you complete a purchase. Look at:
- What is covered
- What is not covered (aka “exclusions”)
- The responsibilities you’re agreeing to as the policyholder
- The refund or cancellation policy
You might get this information during the quote or application process, but you can also look for “Terms & Conditions” pages on providers’ sites.
Consider Value Vs. Price
While cost is important, the cheapest vendor insurance doesn’t always offer the best vendor insurance in terms of value. Consider:
- How much coverage you’ll receive for the money
- If the limits meet insurance requirements
- Whether limits are shared
- Add-ons and other customization options
- The provider’s reputation and reviews
- How easy it is to purchase a policy
- If it feels like the right fit for you
Why Choose Insurance Canopy for Vendor Insurance?
Insurance Canopy protects thousands of vendors and exhibitors nationwide each year, with most of them giving us a 5-star rating.
We also partner with hundreds of events and venues, ensuring our coverage meets or exceeds their expectations.
Our variety in coverage and top-tier customer service make us the best vendor insurance provider on the market!
Frequently Asked Questions (FAQs)
What Insurance Do I Need to Sell at an Event?
At a minimum, the insurance you need to sell at an event includes:
- General Liability Insurance
- Damage to Premises Rented to You
- Medical Expense Limit
Depending on your business, you should also consider a policy that offers Product Liability, Equipment and Inventory (Inland Marine), Professional Liability, and Personal & Advertising Injury.
What Is Vendor Insurance Coverage?
Vendor insurance coverage is a bundle of liability insurances, like general liability and damage to rented premises, that help you pay for third-party injury or property damage claims.
What Does Vendor Insurance Cover?
Vendor insurance covers accidents involving third-party injuries or damages. These are accidents your business could be responsible for causing, like slips and falls or property damage.
What If I Need Higher Liability Limits?
If you need higher liability limits, it can easily be added to your policy from your online dashboard for an additional cost. The standard vendor policy offers $1 million in excess limits for $500 and $2 million in excess limits for $1,000. For higher excess limits, contact one of our customer service reps.
