I am starting my cake business under my state's cottage food law.(Rather, I made the foolish mistake of getting my license, thinking I could get insurance easily. Well, it has turned into a disaster for over a week and I am thinking about dissolving it before I even sell my first cake.) Many carriers and businesses in my area haven't heard about the law going into effect. Most of the quotes for home liability ins.were based off the larger catering companies (they are unsure of how to categorize the business.) I called business within a 45 mile radius from me to get quotes. They were nothing close to the "cheaper quotes other cottage food cakes in my state have quoted that they have. I also don't want to drove 4hrs. north or south of me to get what they have.) I am considering the Flip program for a year, so that I am covered the first year and maybe I'll find something else available with yearly quotes cheaper than $987 per year.

With saying all of that , I started on Friday trying to commercial auto insurance quotes? Must I say, I was banging my head on the wall as I felt I was getting nowhere with the local small town insurance companies. They couldn't understand the business structure setup under the law, was giving me quotes over the moon and stars I felt because of it (their suggestions were to purchase another vehicle.<<That's not happening right now as I wanted additional income help with the household bills, than a business to take greatly from it.) At this time, I only have one vehicle. Will I POSSIBLY have to change the policy to just commercial just to make a few deliveries a month starting out while using it as a personal vehicle?  (My kids and I travel on vacations also in this car.) Should I POSSIBLY need to consider a secondary vehicle? (Which will push away my hopes of this business to launch off.)  Can I POSSIBLY have both personal and commercial insurance on this vehicle? What are some of you fellow cottage bakers experiences?

FLIP is $299 a year for almost all home food businesses. And I use my auto for personal and business and have excellent coverage. I'm not sure what the problem is with your specific needs. I suggest you talk with a FLIP agent and also find an agent who sells both residential and commercial insurance. 

I just want to find home and auto liability commercial insurance that wasn't going to cost me almost $79-$99 each per month just to have it. That cost is unrealistic for me to consider if I happen to not sell a lot of cakes.

Rather alot of cakes in a month.

just a curious question but is most everyone that is operating under a cottage law carrying some sort of insurance and operating as a LLC?

Thanks. ;)

We have a few businesses and our policy covers any driving related to the biz. However, for my home daycare we have a separate policy, which I found online, because no one local knew how to cover me.