Bakery Insurance
Sutherland Insurance places bakery insurance for Ontario bakeries, covering commercial property, general liability, equipment breakdown, stock spoilage, business interruption and commercial auto. It is an independent brokerage that has placed commercial business from Guelph, Ontario since 1870. An in-house claims representative is available to every client who has a claim.
- Line
- Commercial insurance
- Area served
- All of Ontario
- Claims support
- In-house claims representative available to every client on a claim
Who needs bakery insurance?
Bakery insurance applies to any operation that bakes for sale, whatever its size. That includes storefront and cafe bakeries, wholesale and commercial bakeries supplying retailers, catering and custom-cake businesses that deliver, home-based bakers, and vendors selling at farmers’ markets and pop-ups.
The exposures differ by format rather than by scale. A storefront carries public liability because customers come inside; a wholesale bakery carries product and recall exposure across every retailer it supplies; a delivery or catering operation adds vehicles and off-premises liability; and a home-based bakery is normally excluded from a homeowner policy the moment the baking becomes commercial.
What can an Ontario bakery insurance policy cover?
What a policy can cover
- Commercial property: the building where it is owned, plus fixtures, stock and contents
- Equipment breakdown: loss or damage to equipment the business depends on, as a result of an insured sudden mechanical or electrical failure
- Stock spoilage: loss of refrigerated or perishable stock following equipment failure or power interruption
- Commercial general liability: third-party bodily injury and property damage arising from operations
- Business interruption: lost income and continuing expenses while the premises are unusable after an insured loss
- Commercial auto: vehicles registered to the business and driven for business purposes
- Crime and employee dishonesty: theft of money, securities or stock by employees or third parties
Commonly excluded under standard Ontario bakery insurance wordings
- Wear, tear and gradual deterioration
- Workplace injury to the business’s own employees, which falls to WSIB coverage in Ontario
- Overland flood and earthquake, unless added by endorsement
- Cyber events, unless cyber liability is added by endorsement
- Personal property unconnected with the business
Exclusions vary by insurer and by policy form; the issued policy governs.
Frequently asked questions
Does a home insurance policy cover a home bakery?
A standard Ontario homeowner policy excludes business activity carried on at the home. A home bakery selling to the public needs commercial cover for its liability, equipment and stock, either as an endorsement to the home policy or as a separate commercial policy.
Is bakery insurance required by law in Ontario?
No Ontario statute requires a bakery to carry commercial insurance. Auto insurance is compulsory on any registered vehicle, WSIB coverage applies where the business has employees, and landlords and retail clients routinely require proof of liability cover under the lease or supply contract.
What affects the cost of bakery insurance?
Premiums are rated on the size and construction of the premises, the value of stock and equipment, annual revenue, whether the business delivers, the number of employees, and the claims history. Sutherland Insurance compares these against the commercial carriers it places business with.
Get a bakery insurance quote
A licensed Sutherland Insurance broker compares the available markets on every quote request.
Get a bakery insurance quote Call 519-822-0160
A real person answers, Monday to Friday, 8:30 a.m. to 5:00 p.m.