27 min
Navigating winery insurance w/ Heidi Moore, Country Financial XChateau Wine Podcast
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- Food
With insurance costs skyrocketing, having a good understanding of the types and amount of coverage needed for wineries and vineyards is becoming essential. As a broker for Country Financial, as well as the host of the Wine Crush Podcast, Heidi Moore describes what is necessary vs. optional for winery insurance and the changes happening in the industry.
Detailed Show Notes:
Insurance trends - very volatile now, Covid supply chain issues, wildfires / other natural disasters
Rates are soaring
FL/CA - natural disasters happening more, impacting insurance
If >5 mi from a fire station, insurance premiums can be double
Winery insurance is a niche market, so it is better to have expertise
Leakage & contamination are a big issue - often wineries do not have enough coverageGeneral liability and liquor liability are base levels of coverageRest is optional - a winery should look at what will break the business if it happensPremiums based on gross sales, inventory, and assets (e.g., buildings, barrels)Range of costs - small wineries ($1,500-2,000/year), larger wineries ($50-60k/year)CA - many companies have stopped writing business
Sometimes, there is state coverage for catastrophe-only coverage
Insurers often value inventory based on “final destination” (e.g., DTC vs. wholesale)
A wine library with increasing value should be looked at annually to see if coverage needs to be adjusted
Vineyard insurance is different from winery
Farm policy for an agricultural commodity (e.g., for runaway tractors)Crop insurance, which is federally subsidized, covers annual crop value and covers against smoke taint, fire, etc…; often can insure at different value levels of the cropCan buy specific coverage for vines and equipment in vineyardsClimate change mostly impacts crop insurance vs farm policyBase level of insurance needed for winery w/ vineyard
Winery policy - covers tasting room, production, buildings, the commercial businessFarm policy - covers vineyard, buildings, farming operation, home autosDepending on assets - umbrella policy to cover assets (e.g., drunk driving accidents are expensive)When to stop buying insurance? Need a good agent who is your advocate
Value of a broker vs. direct from the insurer - can provide different options of insurance, the downside is they do not know policies as deeply
Wine Crush Podcast
Share stories of winemakers, encourage people who do not drink wine regularly to try itMostly OR wineries, expanding to WA, IDKey trends for wine insurance - circling in on natural disasters and how they affect policies
Get access to library episodes
Hosted on Acast. See acast.com/privacy for more information.
With insurance costs skyrocketing, having a good understanding of the types and amount of coverage needed for wineries and vineyards is becoming essential. As a broker for Country Financial, as well as the host of the Wine Crush Podcast, Heidi Moore describes what is necessary vs. optional for winery insurance and the changes happening in the industry.
Detailed Show Notes:
Insurance trends - very volatile now, Covid supply chain issues, wildfires / other natural disasters
Rates are soaring
FL/CA - natural disasters happening more, impacting insurance
If >5 mi from a fire station, insurance premiums can be double
Winery insurance is a niche market, so it is better to have expertise
Leakage & contamination are a big issue - often wineries do not have enough coverageGeneral liability and liquor liability are base levels of coverageRest is optional - a winery should look at what will break the business if it happensPremiums based on gross sales, inventory, and assets (e.g., buildings, barrels)Range of costs - small wineries ($1,500-2,000/year), larger wineries ($50-60k/year)CA - many companies have stopped writing business
Sometimes, there is state coverage for catastrophe-only coverage
Insurers often value inventory based on “final destination” (e.g., DTC vs. wholesale)
A wine library with increasing value should be looked at annually to see if coverage needs to be adjusted
Vineyard insurance is different from winery
Farm policy for an agricultural commodity (e.g., for runaway tractors)Crop insurance, which is federally subsidized, covers annual crop value and covers against smoke taint, fire, etc…; often can insure at different value levels of the cropCan buy specific coverage for vines and equipment in vineyardsClimate change mostly impacts crop insurance vs farm policyBase level of insurance needed for winery w/ vineyard
Winery policy - covers tasting room, production, buildings, the commercial businessFarm policy - covers vineyard, buildings, farming operation, home autosDepending on assets - umbrella policy to cover assets (e.g., drunk driving accidents are expensive)When to stop buying insurance? Need a good agent who is your advocate
Value of a broker vs. direct from the insurer - can provide different options of insurance, the downside is they do not know policies as deeply
Wine Crush Podcast
Share stories of winemakers, encourage people who do not drink wine regularly to try itMostly OR wineries, expanding to WA, IDKey trends for wine insurance - circling in on natural disasters and how they affect policies
Get access to library episodes
Hosted on Acast. See acast.com/privacy for more information.
27 min