Best Business Insurance for Candle Makers in 2025 (Top 10 Companies Ranked)

State Farm, Allstate, and Travelers are the top companies providing the best business insurance for candle makers.

State Farm’s candle insurance stands out, providing unparalleled protection and affordable coverage tailored to the unique needs of candle-making businesses.

Our Top 10 Company Picks: Best Business Insurance for Candle Makers

In a market filled with popular insurance companies, it’s crucial for candle makers to discern the most cost-effective and comprehensive coverage, ensuring financial security and peace of mind. With discounts of up to 20% and candle insurance cost as low as $150.

In this article, we’ll explore the importance of candle business insurance, the types of coverage you need, the cost of insurance, and how to get the right policy for your business. Enter your ZIP code to get started on comparing business insurance quotes.

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#1 – State Farm: Top Overall Pick

Pros

• Positive Customer Reviews: With 11,412 reviews, State Farm has a substantial customer base, and the low complaint level suggests a high level of customer satisfaction.
• Competitive A.M. Best Rating: State Farm insurance reviews show a top-notch A+ rating from A.M. Best, reflecting its strong dependability for candle maker insurance needs.
• Wide Array of Discounts: In addition to the specified discounts, State Farm offers a range of other discounts, providing flexibility for different customer profiles.

Cons

• Moderate Multi-Policy Discount: While State Farm offers a multi-policy discount for candle company insurance, it is not as high as some competitors.
• Limited Digital Services: State Farm’s online platform and digital services may not be as robust or user-friendly as those of some providers of candlemaker insurance.

#2 – Allstate: Best for Add-on Coverages

Pros

• Add-on Coverages: Allstate stands out for its emphasis on add-on coverages, allowing candle makers to create insurance policies that are specific beyond the standard offerings.
• Competitive A.M. Best Rating: According to our Allstate insurance review, the company also earns a robust A+ rating from A.M. Best, demonstrating its financial strength and stability.
• Customer Reviews: Although fewer in number than State Farm, the 3,019 reviews suggest a solid customer base with positive feedback on their candle manufacturing insurance services.

Cons

• Higher Average Monthly Rate: Allstate’s average monthly rate for candle making business insurance is $166, potentially making it less budget-friendly for some customers.
• Fewer Discount Options: While Allstate offers a substantial multi-policy discount, it provides fewer insurance discount options for candle makers compared to some insurers.

#3 – Travelers: Best for Deductible Deals

Pros

• Deductible Reduction Discounts: Travelers offers up to an 8% deductible reduction, providing insurance savings for candle businesses in the event of a claim.
• Specialized Protection: Travelers offers comprehensive craft insurance for candle making that addresses the unique fire hazards and liability concerns of artisan candle producers.
• 24/7 Support: It demonstrates their commitment to small candle business insurance policyholders with exceptional 24/7 support, ensuring that assistance is readily available whenever needed.

Cons

• Mid-Range Multi-Policy Discount: Travelers’ multi-policy discount is up to 12%, which limits potential savings for bundled policies. Learn more in our Travelers insurance review.
• Limited Regional Presence: Travelers may not have an extensive network, making it hard for those seeking insurance for selling candles in some areas.

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#4 – Nationwide: Best for Usage Advantage

Pros

• Usage Discount Focus: Nationwide excels in providing discounts based on usage, making it a cost-effective choice for candle makers with limited business-related travel.
• Low Complaint Level: Nationwide maintains a low complaint level, demonstrating their reliability when providing craft insurance for candles to artisanal businesses.
• Positive A.M. Best Rating: The A+ rating from A.M. Best indicates robust financial stability and dependability. Explore our Nationwide insurance review for more info.

Cons

• Moderate Low-Mileage Discount: While Nationwide offers a low-mileage discount, it is not as high as those of some competitors, potentially limiting its appeal for those looking to maximize savings.
• Mid-Range Average Monthly Rate: Nationwide’s average monthly rate for good drivers falls between State Farm and Allstate, making it a middle-ground option in terms of pricing.

#5 – The Hartford: Best for Flexible Coverage

Pros

• Accident Forgiveness: The Hartford insurance reviews highlight its accident forgiveness, allowing candle makers to keep their premiums low even after an at-fault accident.
• Customizable Protection: The Hartford provides the best candle maker insurance with fully customizable policies, allowing businesses to select only the coverage options they truly need.
• Specialized Coverage Options: The Hartford offers a wide range of insurance for selling wax melts, including specialized policy options for artisans and small-batch manufacturers.

Cons

• Deductible Reduction Discounts: While The Hartford offers deductible reduction discounts, they are not as high as some competitors, potentially limiting overall savings.
• Potential Coverage Gaps: The customizable nature of policies may lead to confusion or oversight, and customers might inadvertently leave coverage gaps in their policies.

#6 – Farmers: Best for Generous Deductibles

Pros

• Up to 20% Deductible Reduction: Farmers offers up to 20% deductible reduction, providing potential cost savings for candle makers in the event of a claim.
• Candle Delivery Protection: With up to 10% discount for candle businesses with limited delivery exposure, Farmers recognizes the unique transportation needs of artisanal candle makers.
• Policy Options: Our Farmers insurance review shows a variety of policy options, allowing candle makers to choose coverage that suits their specific business requirements.

Cons

• Limited Discount Accessibility: While Farmers advertises substantial deductible reductions, many smaller candlemakers report difficulty qualifying for the full 20% benefit.
• Incomplete Online Resources: Farmers lack dedicated educational materials about candle business insurance on their digital platform.

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#7 – Liberty Mutual: Best for Customized Protection

Pros

• E-Commerce Protection: Our Liberty Mutual insurance review highlights broad coverage of internet candle sales, including specialized protection against product liability claims.
• New Business Emphasis: Liberty Mutual offers new candle maker packages for businesses with less than two years in operation, featuring first-year premium discounts and simplified claims.
• Fire Liability Expertise: Their underwriters provide extensive risk assessments tailored to candle production operations.

Cons

• Higher Rates: Liberty Mutual categorizes home-based candle making as a higher risk category than commercial businesses and has higher rates for most small, handcrafted producers.
• Limited Coverage for Craft Fairs: Their standard policies leave potential coverage gaps for candle makers who sell most of their products at markets and fairs.

#8 – American Family: Best for Student Savings

Pros

• Home Studio Coverage: American Family leads the way with specialized home-business insurance packages, perfectly suited for candle makers working from home workshops.
• Handmade Product Protection: Their policies cover the unique liability issues of handmade candle manufacturing, including protection for special scent blends and design features.
• Seasonal Business Flexibility: Our American Family insurance review highlights customizable coverage levels for candle manufacturers that experience seasonal manufacturing peaks.

Cons

• Limited Chemical Coverage: Their standard policies limit fragrance compounds and essential oils that are typically used in candle making.
• Shipping Damage Exclusions: American Family’s standard policies often exclude product damage in transit, a major issue for candle makers who depend on shipping.

#9 – Erie: Best for Coverage Choices

Pros

• Local Candle Industry Knowledge: Erie’s regional emphasis provides its agents the opportunity to become highly knowledgeable about local candle manufacturing regulations.
• Positive A.M. Best Rating: Erie insurance reviews reveal a favorable A+ score from A.M. Best, making it one of the best all-in-one business insurance.
• Boutique Manufacturer Protection: Its small-batch manufacturer coverage involves provisions specifically for artisanal candle manufacturers who make fewer than 10,000 units per year.

Cons

• Limited Geographic Availability: Erie’s specialized candle makers’ coverage is only offered in 12 states, which can prevent many businesses outside of this area from accessing it.
• Wholesale Distribution Gaps: Their policies often require supplemental coverage for candle makers who sell products through third-party retailers, exposing them to potential liability.

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#10 – Progressive: Best for Affordable Rates

Pros

• Craft Fair Coverage: Our Progressive insurance review highlights specialized event liability coverage for candle makers selling mainly at markets, fairs, and pop-up events.
• Transportation-Focused Protection: Their commercial auto policies have special provisions for vehicles carrying candle inventory, including product damage.
• Flexible Payment Structures: Progressive offers payment structures specifically tailored for candle businesses that experience seasonal income fluctuations.

Cons

• Online Selling Limitations: Their base policies offer limited protection for e-commerce candle sales, requiring businesses that primarily sell online to add extra coverage.
• Scent Allergy Claim Limits: Progressive has tighter restrictions on claims for scent allergies—a key issue for candle manufacturers who use essential oils and bespoke fragrance mixes.

Safeguard Your Candle-Making Business With Vital Coverage

You need insurance to sell candles, and navigating the intricacies of business ownership involves not only crafting exquisite products but also protecting your enterprise from potential risks and liabilities. Here are some essential types of insurance coverage to consider:

• Business Owner’s Policy: A business owner’s policy (BOP) is a cost-effective solution that combines general liability coverage and commercial property insurance. It protects your business from third-party injury and property risks, offering comprehensive coverage in one package.
• General Liability Insurance: General liability insurance is essential for candle makers as it covers potential liabilities arising from accidents, injuries, or property damage caused by your products. This public liability insurance for candle makers can protect your business.
• Workers’ Compensation Insurance: If your candle-making business has employees, most states require you to have workers’ compensation insurance. This coverage not only protects your employees in case of work-related injuries but also safeguards you as the business owner from potential costs that health insurance may not cover.
• Cyber Liability Insurance: In today’s digital world, cyberattacks and data breaches pose a significant threat to businesses. If your candle shop handles sensitive customer information or credit card numbers, having cyber liability insurance is highly recommended. It provides coverage for legal expenses, customer notification, and data recovery in the event of a cyber incident.
• Commercial Umbrella Insurance: Commercial umbrella insurance acts as an extra layer of protection by extending the coverage limits of your general liability, employer’s liability, and commercial auto insurance policies. It comes into play when the policy limit is reached, providing additional financial security for your candle selling insurance needs.
• Commercial Auto Insurance: If your candle-making business owns vehicles used for transportation or deliveries, commercial auto insurance is crucial. This insurance covers the cost of accidents involving your business vehicles. It’s important to note that most states require commercial auto insurance for vehicles owned by a business.

Remember, each business is unique, and insurance for candle making business may vary. It’s essential to evaluate your specific risks and seek guidance from an insurance professional to determine the most suitable coverage for your candle-making business.

By taking proactive steps to address potential risks, you can protect your business and ensure its long-term success. Don’t overlook the importance of regularly reviewing your insurance coverage to adapt to any changes in your business operations, as well as finding your next candle insurance.

The Costs of Business Insurance for Candle Makers

How much is candle making insurance? The cost of insurance for candle makers can vary depending on several factors. Here are some key considerations that can impact the cost:

• Size and Scope of Your Business: The size and scope of your candle-making business significantly impact insurance costs. Smaller businesses with fewer employees and lower revenues typically have lower insurance premiums compared to larger operations.
• Coverage Limits: The coverage limits you choose for your insurance policies will affect the cost. Higher coverage limits provide greater protection but also come with higher premiums. It’s important to strike a balance between adequate coverage and affordability.
• Business Location: Your business location can impact insurance costs. Factors such as local regulations, crime rates, and the prevalence of certain risks in your area can influence premiums. For instance, if your business is located in an area prone to natural disasters, you may need additional coverage or face higher insurance costs for your candle store insurance.
• Risk Factors: The specific risks associated with your candle-making business can influence insurance costs. For example, if you use hazardous materials in your candle production or operate machinery that poses a higher risk of accidents, it may result in higher premiums.
• Claims History: Your claims history can impact insurance costs. If you have a history of frequent claims or high-value claims, insurers may consider your business to be a higher risk and charge higher premiums accordingly.

To determine the exact cost of insurance for your candle-making business, it’s recommended to obtain quotes from multiple insurance providers.

Business Insurance Monthly Rates for Candle Makers

When researching candle insurance, Reddit users mentioned valuable insights about costs and coverage options. One user who works in insurance and also makes candles shared:

Comment
byu/Think-Confidence-624 from discussion
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By comparing quotes and discussing your specific needs with insurance agents, you can find a policy that offers adequate coverage at a price that fits your budget. Remember that investing in insurance is essential to protect your business from potential financial losses and liabilities.

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A Step-by-Step Guide to Insurance for Candle Makers

Getting business insurance for your candle business is a straightforward process. Here are the seven steps to help you obtain the necessary coverage:

1. Assess Your Insurance Needs: Begin by evaluating the specific risks and liabilities associated with your candle-making business. Consider factors such as the size of your operation, the types of products you sell, the number of employees, and your business location. This assessment will help you determine the types and amount of coverage you require.
2. Research Insurance Providers: Look for reputable small candle business insurance providers that specialize in business insurance or offer coverage tailored to small businesses. Consider factors such as their experience, financial stability, customer reviews, and the range of coverage options they offer.
3. Obtain Quotes: Contact insurance providers and request quotes for the coverage you need. Be prepared to provide details about your business, such as its size, revenue, location, and any specific risks or requirements. Insurance providers will use this information to assess the level of risk associated with your business and provide you with accurate quotes.
4. Compare Coverage and Costs: Review the quotes you receive and compare the coverage provided, policy limits, deductibles, and premiums. Ensure that the policies offered adequately address the risks and liabilities specific to your candle-making business.
5. Consult With an Insurance Agent: If you have questions or need assistance, consider consulting with an insurance agent or broker who specializes in small business insurance for candlemakers. They can provide expert advice, help you understand the policy details, and guide you in selecting the most suitable coverage for your needs.
6. Purchase Your Policy: Once you’ve selected a policy that meets your requirements, contact the insurance provider to proceed with the purchase. They will guide you through the necessary paperwork and payment process. Review the policy documents carefully to ensure that they accurately reflect the coverage you agreed upon.
7. Maintain Regular Reviews: As your business evolves, it’s important to regularly review your insurance coverage to ensure it continues to meet your needs. Notify your insurance provider of any significant changes in your business operations or risks so that they can adjust your policy accordingly.

If you’re wondering “Do you need insurance to sell candles?” Securing the right insurance is not just about fulfilling a requirement; it’s about safeguarding your investment and ensuring the continuity of your business.

Regularly reassessing your coverage ensures that you stay adequately protected as your business grows and changes. Don’t hesitate to reach out to your insurance provider whenever you have questions or need to update your policy.

With proper insurance coverage in place, you can focus on nurturing your candle-making business and pursuing your entrepreneurial dreams with confidence.

5 Case Studies: Business Insurance Success Stories for Candle Makers

These case studies highlight the importance of business insurance for candle makers, demonstrating its role in overcoming challenges and ensuring business continuity.

• Case Study #1 – Fire Damage Recovery: Laura’s property insurance covered the repair costs and lost inventory after a workshop fire, enabling her business to recover and rebuild.
• Case Study #2 – Customer Injury at a Craft Fair: Mark’s liability insurance covered medical costs and legal fees when a customer was burned by a defective candle, protecting his business.
• Case Study #3 – Product Liability Insurance for Candle Makers: Emily’s insurance covered legal defense and settlement fees for a customer’s severe allergic reaction, ensuring her business’s survival.
• Case Study #4 – Cyber Attack on Online Store: Sophie’s cyber insurance helped with security improvements and legal fees after a hack, safeguarding her business.
• Case Study #5 – Business Interruption During Pandemic: Leo’s insurance covered ongoing expenses during a temporary closure, allowing him to pay employees and resume operations afterward.

These case studies underscore the myriad risks candle-making businesses face, from property damage and customer injuries to cyber threats and global disruptions.

Without adequate coverage, any of these incidents could have led to catastrophic financial consequences or even business closure. Refer to our comprehensive resource “Liability Insurance: A Complete Guide” for further details.

Getting the Best Business Insurance for Candle Makers

Leading US insurance companies like State Farm, Allstate, and Travelers are the best business insurance for candle makers with specialized coverage options, helping you safeguard your livelihood and financial stability against the inherent risks of running a candle-making business by having the right insurance coverage in place.

If you have small business insurance questions, we can help personalize your coverage to meet your specific needs. #SmallBusinessTips https://t.co/FbZQZjwh6a pic.twitter.com/QTBdUFtB6v

— State Farm (@StateFarm) November 4, 2024

General liability insurance protects against third-party claims of property damage or bodily injury. Many artisans also ask, “Do you need insurance to sell wax melts?” The answer is yes; similar coverage is recommended for these related products.

Cyber liability insurance helps mitigate the risks of data breaches and cyberattacks. These policies, along with others such as business interruption insurance and commercial auto insurance, provide financial protection in various scenarios.

By assessing your business needs, obtaining multiple quotes, and working with reputable insurance providers, you can find coverage that matches your specific risks.

Remember, insurance costs can vary based on factors such as the size of your business, coverage limits, and location.

Our free quote comparison tool makes it easy to compare the average affordable coverage options for your business — simply enter your ZIP code to find the best commercial insurance companies for you.

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