Canadian Insurance FAQ
The following are the most frequently asked questions about the member benefit insurance offered by the HSCG for Canadian soap and cosmetic handcrafters. Additional information about coverages and what they mean can be found in the General Insurance FAQ.
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Why did the HSCG decide to include Canadian insurance as a member benefit?
The HSCG is a trade association focused on providing their members with resources in helping their business grow. As part of the membership to the HSCG, members have access to several discounted products including liability insurance. The HSCG does not sell insurance or receive any commissions on insurance purchased by members.
Who qualifies for the HSCG Canadian member benefit insurance?
An HSCG Soapmaker Member who resides in Canada, except Quebec. Also, in order to qualify more than 80% of your sales must come from handcrafted items.
Why can't I get insurance coverage in Quebec?
The insurance company was not able to obtain the necessary licenses to offer coverage in the the province of Quebec, due to the stringent requirements of the local government.
Can I join the HSCG as a Soapmaker and not get the Canadian member benefit insurance?
Yes, the Canadian insurance is optional.
How do I sign up and get the insurance?
Just join the HSCG as a Canadian Professional Soapmaker Member (and be located anywhere in Canada except Quebec). Once your membership is processed (usually within 1 business day), you will receive an email with directions on how to sign up for the insurance. The insurance application needs to be submitted within 48 hours.
About the Insurance Coverage
How much does the Canadian insurance cost?
The cost is C$400 per year, inclusive of a policy issuance fee of C$50.
There is also an additional tax in several provinces on insurance premiums and/or the policy issuance fee as follows:
- Ontario, 8% Premium Tax of C$28.00, 13% Harmonized Service Tax on fee of C$6.50
- British Columbia, Alberta, Saskatchewan, Nova Scotia, prince Edward Island, Newfoundland, and New Brunswick: 5% Harmonized Service Tax on fee of C$2.50
- Manitoba 7% Premium Tax of C$24.50, 5% Fee Tax of C$2.50
What is the coverage?
This is a Commercial General and Product Liability policy. The base limits are:
- $2,000,000 General Aggregate Limit
- $2,000,000 Products-Completed Operations Aggregate Limit
- $1,000,000 Personal and Advertising Injury Limit
- $1,000,000 Each Occurrence Limit
- $300,000 Damage to Rented Premises Limit
- $5,000 Medical Expense Limit
Business Personal Property coverage includes "miscellaneous property of a floating nature". It basically covers "tangible property you own or is in your care, custody or control", like when you go to a show or have items on consignment in a store. The limits are:
- $1,000 Maximum payout per any one Item
- $5,000 Total
- $100 Deductible
Identity Theft coverage limits are:
- $15,000 Aggregate Limit
- $250 Deductible
What if I need MORE insurance than is provided with the HSCG member benefit insurance?
You can contact the broker.
Who is the insurance carrier?
The insurance is provided by Great American Insurance Company.
Who is the insurance broker?
The insurance broker is Steer Insurance Brokers & Consultants, a licensed insurance broker located in Canada.
Can I make installment payments?
No. The membership dues (which include your insurance) must be paid in full before your membership and insurance become active.
Is the premium refundable?
No. The policy becomes effective as soon as payment is processed when you join HSCG. The policy will cover you for a year in exchange for payment in advance of the policy premium. You may choose to renew it or not when it expires, but it is in place for a year and the premium is not refundable.
The Handcrafted Soap & Cosmetic Guild, Inc. is not authorized nor licensed in any state or country to provide any kind of insurance. The HSCG merely collects the premium for Veracity Insurance, in accordance with the requirements set forth by Veracity Insurance and Great American Insurance Group. A new HSCG member's product liability insurance becomes effective immediately upon processing of the membership application in the HSCG. The HSCG cannot and will not answer any questions about product liability insurance provided other than the questions contained in the posted "Frequently Asked Questions" (FAQ) (above). If you have questions about the insurance products offered to HSCG members, your existing policy and how it may or may not be impacted by joining the HSCG, or other insurance options available to you, contact Veracity Insurance at email@example.com or (toll free) 888-568-0548.