Selling fresh pods at the farmers market

[Mallory]

Forgive me if this has been answered before, but I want to sell super hot seedlings, fresh pods, and maybe powder, at my local farmers market, and I am not sure if I need insurance. 
 
I don't want someone to touch a reaper and then rub their eye or something and it comes back on me somehow. But I also don't want to waste money on insurance that i may not need, especially since this is not going to be a big money-making operation this year. I'm only doing it because I enjoy it and it isn't my priority.
 
I thought I could print up a warning sheet that everyone gets so at least they are warned to be careful, wear gloves, etc. but I don't know if that covers my a**, any thoughts?

 

[Snarg]

You definatly need liability insurance. For that matter, most markets require that you have liability insurance. I guarantee you, the first time someone gets Reaper juice in their eye, you will wish you had insurance.
 
The insurance is also to cover you for more than just the peppers. What if a customer trips on a leg of one of your tables? Guess who is liable for that....?
 
I don't know about your state or county, but in order to sell nursery stock (plants), we are required to be inspected by the state.

 

[Husker21]

What snarg said. Plus if you are drying and grinding the powder now you are getting into food production. That will probably open you up to the need for a different type of vendors license and having your products and process tested and approved by a lab. Every state and county is different and it is best to start talking to your farmer market organizer to find out what they require. From there you may have to start researching and obtaining other certificates and licenses.

 

[Snarg]

What Husker21 said. I forgot about the food processing part.
 
Now, with all that said and done, don't let it discourage you. People can, and do, sell at farmers markets. We happen to do quite well selling veggie starts, produce and cut flowers. Well enough that my wife and I no longer have or need an outside job.
 
We started small (who am I kidding, we are still small) like you and slowly expanded (sounds like I am describing my waistline) the business over time.
 
The money you save by not having insurance and licenses pales in comparison to the money you will spend if you are caught selling without them.
 
Good luck and have fun.

 

[Mallory]

Thanks! Sounds like I need to do more research. 

 

[Weed]

In PA I think you have to cross a certain sales threshold before they start requiring anything from sellers of fresh raw agricultural product. It's $5k here if I remember. Small producers would never be able to sell if they had to pay more for insurance than they would make.
 
Until then making sure customers know what theyre getting into and making sure kids cant grab them off the table should be sufficient.
 
Keep in mind that besides the state laws the market itself might have rules.

 

[Snarg]

In PA I think you have to cross a certain sales threshold before they start requiring anything from sellers of fresh raw agricultural product. It's $5k here if I remember. Small producers would never be able to sell if they had to pay more for insurance than they would make.
 
Until then making sure customers know what theyre getting into and making sure kids cant grab them off the table should be sufficient.
 
Keep in mind that besides the state laws the market itself might have rules.

Even if it is not required, I would still get it. Remember, McDonalds coffee is hot.
 
This is a very litigious country we live in. It would be far better to have it and not need it than to not have it and need it. Also, it would cover more than just your product. If someone were to trip and fall in your booth or a large wind came along and carried your tent into a crowd, it would cover you for things like that.
 
Shop around and, if possible, talk to a real person. You can find it for a reasonable rate.

 

[Lucky Dog Hot Sauce]

Just a suggestion for these business forums: don't guess at the law. Consumer protection and the food business are county, state and federally regulated. Always defer to your state process authority. Laws vary from state to state and are occasionally interpreted differently county to county within a state. 
 
Liability insurance is a requirement as a measure of self protection for a business. We are a highly litigious society.  Suggesting otherwise is dangerous and ignorant. Terms like "I think" and "should" are neither necessary nor helpful in this discussion. The OP is asking for the requirements of selling a food product at a farmer's market. 
 
Mallory - The authority on that will be the farmer's market association and the state process authority. Those should be the 1st and 2nd places you check. Were it me I'd start 1 step earlier by going to the market or markets you're interested in and querying other market vendors regarding what sort of insurance they require. Ask the market manager - I'm sure they have a FAQ they can email or hand you with their market org requirements.
 
I'm now in 5 farmer's markets, soon to be 6 a week - with 3 different orgs. Each one required that they be named on my liability insurance. This is not optional. If I want to sell 1 bottle, one apple, one pepper, I need liability insurance or I will not be allowed at my farmer's markets. 
 
Most farmer's market folks are super friendly and will be willing to help with advice Mallory - I highly recommend starting there.

Good luck!

 

[Weed]

Even if it is not required, I would still get it. Remember, McDonalds coffee is hot.
 
This is a very litigious country we live in. It would be far better to have it and not need it than to not have it and need it. Also, it would cover more than just your product. If someone were to trip and fall in your booth or a large wind came along and carried your tent into a crowd, it would cover you for things like that.
 
Shop around and, if possible, talk to a real person. You can find it for a reasonable rate.

 
Ya you made your point. Theres a reason small vendors arent required to get insurance. Deal with it?

Liability insurance is required for raw ag producers LAST out of anyone you will find selling at a farmers market. There's also a reason for that.

Californias limit on a home business for baked goods before they require licensure or insurance is 35k last I checked. Raw ag products are usually less restrictive.

This is what I found for WV actually has to say about the issue:
 
Fruits and Vegetables:
Whole, uncut fruits and vegetables may be offered for sale without registering with or receiving a Food Establishment permit from the local health department. Once cut, many fruits and vegetables are considered potentially hazardous foods. Melons and tomatoes are just two examples. These products, once cut, would have to be held below forty-one degrees (41ºF). Therefore, if offering cut fruits or vegetables the vendor would have to receive a Food Establishment permit from the local health department before the date of sale.
Sprouted seeds are NOT allowed for sale at a Farmers Market without having a HACCP plan and variance from WVDHHR and a valid Food Establishment permit.
Wild harvested mushrooms are NOT allowed for sale at a Farmers Market. However, there are several mushroom species that can be commercially grown from spores. The sale of mushrooms cultivated on the farm from spores and are harvested by the grower may be offered for sale at the Farmers Market. Proof of identity of the species and proof that the mushroom is edible shall be displayed at the sales area.
Other foods may or may not be allowed for sale. Approval for questionable products is at the discretion of the Commissioner of the Bureau for Public Health or his/her designee.
 
http://smallfarmcenter.ext.wvu.edu/farmers_markets/vendors_guide

And here is one more helpful site for WV
 
http://www.wvhub.org/wvffc/wv-health-regulations-and-guidelines
 
Hopefully you had already found these on your own. I dont see the likely income limit anywhere just glancing around, but its your state.
 
Have fun at the Markets if you decide to do it.

 

[Snarg]

Thank you for that
 

...

Thank you for that information however, it does not deal with the original quesiton at all. She did not ask about a permit, she asked about insurance.
 
I am going to assume you don't sell at a farmers market. If you do, please let me know where. I may need to make a 'trip' to your location next 'fall'. Sure hope you are not insured

 

[Weed]

Thank you for that
 
Thank you for that information however, it does not deal with the original quesiton at all. She did not ask about a permit, she asked about insurance.
 
I am going to assume you don't sell at a farmers market. If you do, please let me know where. I may need to make a 'trip' to your location next 'fall'. Sure hope you are not insured

 
Insurance is almost always connected to whether you need licensure or not by state laws. Sorry if you cant relate those two things.
 
I do sell at a farmers market, and we dont need insurance to sell raw ag products. Im sorry you feel like a pepper has to be insured to change hands. China is looking for immigrants I hear and theres lot of mouths to feed.

 

[Lucky Dog Hot Sauce]

Wow...just...wow.

 

[Weed]

btw our farmer market is on city property which is insured by them, trip all you want there like youre doing here

 

[Snarg]

Mallory,
 
To stay on topic: As stated by Lucky Dog Hot Sauce, requirements vary wildly from state to state. Check with your market director to see what they require.
 
Just because insurance is not required does not mean that you should not have it. Work closely with your insurance agency to ensure you have what you need. It won't break the bank and, God forbid, you ever need it, you will be glad that it is there.
 
mx5inpa: Selling without liability insurance is like playing Russian Roulette. Eventually you are going to lose. The city may inure the property, but don't look to them for help if it is something in/from your booth that hurts someone.

 

[Lucky Dog Hot Sauce]

I know fm people in many states. Every market org they're in requires a rider on the (at least) 1 M policy. Period.

The question at hand is "what is required to sell at FMs". There are many answers. One correct answer is "liability insurance" because you're 95% likely to be required by whatever organization runs the markets to name them on the policy.

Another answer is possibly "provision on business vehicle insurance" but we can talk about that one after Mallory determines if her markets org requires liability ins. If I were a betting man I'd go all-in on "yes". And if by some minuscule chance the answer is no it's still pretty important to be protected from malicious fraudulent claims, or from real things like salmonella.

Mallory - I hope this helps!

 

[salsalady]

I'll chime in to also say it's up to the local market what they require and enforce. 
 
Our local market, which is fairly good sized especially for our area, is Not a part of the state FM association.  The state FM association requires-
business licensing
food licensing
reporting and collection of state sales tax $
reporting of daily sales $ and sometimes payment of daily fee based on the day's sales
weights of 80--100# on every canopy so it doesn't blow away in the wind
hand washing stations
and a few more things I can't remember right now
 
NONE of those things are required by our local independent FM, including any insurance riders/add'l insured, etc.
 
 
 
If/when you sell superhots at a market, keep them back from the edge of the table where kids can't grab the pretty bright red chiles, and when you do sell some, send a little info flyer home with every customer warning to wear gloves, extremely hot, etc, etc.

 

[Lucky Dog Hot Sauce]

Yes SL, you are correct. It is not a requirement of the government, but it is a requirement of many FMs.  That said, whether the government or FM requires it, it's still a good idea to have it, right?  

Would you sell any food product without liability insurance?  
 
Would you sample superhot peppers to anyone without liability insurance? 
 
I'd be surprised if your answer was no to either. 
 
I think the OP is looking for help with how to best sell peppers at a farmer's market. I would think liability insurance should be high on any prospective food seller's list regardless of requirements so that was/is my suggestion. 
 
But it's up to the OP to determine how best to protect their business though and to research their local requirements, so I'll leave them to it. 
 
Good luck to you Mallory. I hope it works out for you.  

If/when you sell superhots at a market, keep them back from the edge of the table where kids can't grab the pretty bright red chiles, and when you do sell some, send a little info flyer home with every customer warning to wear gloves, extremely hot, etc, etc.

 
McDonalds coffee had "warning, contents are hot" on the cup of coffee that cost them millions of dollars. 
 
Maybe talking to an attorney would help clarify the requirement. Of course, doing that would cost as much as a year's worth of liability ins. :p

 

[biscgolf]

i sell produce for a living including at several farmer's markets. i also serve on a board that oversees 5 local markets. all require a million in liability insurance regardless of what you are selling. your local market may operate differently.