Many Americans enjoy a great bottle of wine. In 2018, the wine industry topped the $68 billion mark, making the United States the world’s third-largest producer. For those who have been thinking about becoming a vineyard or winery owner, having the right type of insurance is a must. Below are several policies designed to protect your business. 

5 Insurance Plans Needed by Vineyard & Winery Owners

1. Crop Insurance

Planting and harvesting grapes to create different wines is heavily influenced by the weather, including drought, floods, and forest fires. Because these conditions are beyond the control of vineyard and winery owners, insurance is needed to cover potential financial losses. Crop insurance pays for damage caused by natural perils. Depending on the vineyard’s location, additional coverage may be needed to cover earthquake and fire damage. 

2. Property 

From inventory and stock to buildings and equipment, vineyard and winery owners accumulate a wide range of property. Protecting the items from the unexpected is the main goal of property insurance. If there is damage, theft, or vandalism, most policies will pick up the tab for repair and replacement costs. Certain endorsements can be added to include tank and agricultural equipment damage and contract cancellations.

3. Workers Compensation

In most states, companies with a certain number of employees are required to have workers compensation. This type of coverage pays for the medical costs of employees who are injured on the job. Most policies also pay for wage loss while the injured employee is recovering. As a condition of using workers compensation coverage, an employee will typically forfeit the option to sue their employer. 

4. Spoilage & Contamination

Unfortunately, a batch of wine can become contaminated due to a number of reasons. This includes bacterial causes and equipment breakdowns. Winery and vineyard owners who have a spoilage and contamination endorsement within their business insurance policy are covered from financial losses.  

5. Liability

If a guest to your vineyard or winery is injured while on the premises, liability insurance pays for their medical expenses. Depending on the policy, the coverage typically includes any legal costs if the injured guest sues you. Some insurance plans offer additional protection stemming from libel, slander, advertising, and product liability claims. 

Wine production is an ambitious and rewarding business venture to take on. Kleppinger Insurance in Bethlehem, PA, specializes in providing customized coverage for this unique industry. The independent agency works with several Trusted Choice® insurance providers, which means they offer competitive rates and an extensive product line. To learn more about protecting your vineyard or winery, call the Better Business Bureau A+-ranked firm at (484) 357-1485 for free insurance quotes. You can also request a quote online.