# Insurance for flour mills, oil mills and mills with a farm shop in Germany

> Flour dust burns like tinder, many mills have stood right on the water for centuries, and a broken roller mill stops all milling. For flour mills, oil mills and mills with a farm shop, fire, flooding and downtime are the big issues, plus liability for flour and oil at the customer's end. This page explains what to cover in Germany and what it costs.

Quelle/Source: https://www.nammert.com/en/business-insurance-mill.php  
Updated: 2026-10-15

## Can I get fire insurance for an old mill by a stream?

Usually yes, but insurers ask detailed questions: construction, age of the wiring, dust extraction, fire detectors and distance to the water decide the premium and whether flooding is included. Well documented maintenance and renovation lower the premium noticeably, and a broker can approach several insurers at once.

## At a glance

- **Compulsory:** No statutory insurance; the miller trade is listed in Annex B section 1 of the German Crafts Code (no. 28) and needs no master craftsman qualification
- **Biggest risk:** Fire and dust explosion in silo, milling plant and filters
- **Basic cover from:** around €400 a year for the general liability of a small mill with a farm shop, a guide figure from our quoting
- **Liability:** Under the German Product Liability Act the manufacturer is liable without fault, for personal injury up to €85 million
- **Often forgotten:** Flooding and backflow for mills on rivers, only covered with natural hazard cover

## What goes wrong in this trade

- **Dust explosion and fire:** Fine flour dust, an overheated bearing or a spark in the elevator are enough for an explosion. Old timber floors burn quickly.
- **Flooding:** Many mills stand right by a river or mill race. Heavy rain and floods fill the basement, drive and store.
- **Roller mill and drive:** If a roller or gearbox breaks, milling stops. Parts for older plants take weeks.
- **Foreign bodies and contaminants:** Stones, metal parts or contaminated grain end up in the flour, and bakeries reject whole deliveries.
- **Silo and falls:** Work in silos, on platforms and on conveyors is among the most dangerous in the business.
- **Valuable old building:** Listed mills are expensive to rebuild; a sum insured that is too low hurts after a fire.

**Risk radar** (Compared with other trades, 1 low to 5 high.): Liability 4, Fire and water 5, Theft 2, Cyber 2, Downtime 5, Health 4

## The insurance you need

- **Commercial buildings** (Essential): Insures the mill building with silo and water structures against fire, storm and burst pipes, optionally with flooding and heavy rain. https://www.nammert.com/en/insurance-broker-commercial-buildings.php
- **Business contents** (Essential): Replaces milling plant, grain, flour and packaging after fire, explosion or burglary. https://www.nammert.com/en/insurance-broker-business-contents.php
- **Business liability** (Essential): With product liability if flour or oil causes damage at a bakery or customer, and cover for visitors to the farm shop. https://www.nammert.com/en/insurance-broker-business-liability.php
- **Business interruption** (Strongly advised): Pays wages and profit while the mill stands still after a fire or flood and customers move to other mills. https://www.nammert.com/en/insurance-broker-business-interruption.php
- **Machinery breakdown** (Strongly advised): For roller mills, plansifters, oil presses, drives and controls, including operating errors. https://www.nammert.com/en/insurance-broker-machinery-breakdown.php
- **Fleet insurance** (Depends on the business): If you collect grain and deliver flour with several lorries. https://www.nammert.com/en/insurance-broker-fleet-insurance.php
- **Cargo insurance** (Depends on the business): For flour and oil on the way to bakeries and retailers. https://www.nammert.com/en/insurance-broker-cargo-insurance.php
- **Cyber insurance** (Depends on the business): For mills with digital controls, stock management and an online shop. https://www.nammert.com/en/insurance-broker-cyber-insurance.php

## What it costs: example prices

For mills, fire and buildings insurance makes up most of the premium. Construction, dust protection, location by the water and rebuilding value count more than turnover.

| Insurance | Example | Typical range |
| --- | --- | --- |
| Business liability | Small mill with farm shop supplying local bakers | around €400 to €1,100 a year |
| Commercial buildings | Mill building with silo, rebuilding value €1.5 million, without flooding | around €2,500 to €7,000 a year |
| Business contents | Milling plant and stock worth €600,000 | around €1,200 to €3,500 a year |
| Machinery breakdown | Roller mills, sifters and drives with a new value of €500,000 | around €1,000 to €3,000 a year |
| Business interruption | Business interruption with a 12 month indemnity period, together with fire cover | around €800 to €2,500 a year |

For comparison: Fire insurance for a medium sized mill costs roughly as much a year as ten tonnes of bread wheat on the market.

_Guide figures from our quoting, as of October 2026, excluding German insurance tax. Mills are rated individually; there are no published tariffs. The sources support the legal statements on this page; we obtain the exact quote for you._

- [German Crafts Code, Annex B](https://www.gesetze-im-internet.de/hwo/anlage_b.html)
- [Product Liability Act, section 1](https://www.gesetze-im-internet.de/prodhaftg/__1.html)
- [Product Liability Act, section 10](https://www.gesetze-im-internet.de/prodhaftg/__10.html)
- [Social Code Book VII, section 2](https://www.gesetze-im-internet.de/sgb_7/__2.html)

## Our suggestions: three packages

- **Farm mill** (Small mill with farm shop, oil press and local sales): Commercial buildings, Business contents, Business liability. Together: around €2,500 to €6,000 a year
- **Trade mill** (Mill supplying bakeries and retailers): Commercial buildings, Business contents, Business liability, Business interruption, Machinery breakdown. Together: around €7,000 to €18,000 a year
- **Industrial mill** (Mill with several lines, silos and own fleet): Commercial buildings, Business contents, Business liability, Business interruption, Machinery breakdown, Fleet insurance, Cyber insurance. Together: individual, usually from around €20,000 a year

## The worst day at the mill

Six things that really happen to mills, all on one stormy day. Tap through and see who pays.

- 06:30: A roller mill breaks and milling stops. The spare part arrives in three weeks. (€38,000, Paid by: Machinery breakdown)
- 09:15: A bakery reports metal in the flour. Two batches of bread must be destroyed. (€14,000, Paid by: Business liability)
- 11:40: A visitor trips on a step in the farm shop and injures his knee. (€5,500, Paid by: Business liability)
- 15:20: After heavy rain the mill stream bursts its banks; the basement with drive and flour store is flooded. (€95,000, Paid by: Commercial buildings)
- 15:30: The soaked flour in the store is lost. (€22,000, Paid by: Business contents)
- 22:50: An overheated bearing ignites dust in the elevator and the fire spreads to the milling floors. (€780,000, Paid by: Commercial buildings)

**Damage so far:** €954,500

## Practical tips from your broker

- Have the rebuilding value of the mill assessed; for old and listed buildings it is often far above the purchase price.
- Check flooding and heavy rain expressly; mills by the water do not get them automatically.
- Document dust extraction, cleaning and bearing maintenance; it lowers the premium and helps after a loss.
- Agree an indemnity period in business interruption that matches the time to replace the milling plant, usually 12 to 24 months.
- If you supply bakeries, include consequential losses at the customer in product liability, such as destroyed bread.
- Check whether water wheel, turbine and weir are covered by the buildings policy.

## Why NAMMERT for your business

- **We know old buildings by the water:** Boats and harbours are on the water, and so are mills. As an insurance broker, Norman Nammert obtains quotes from several insurers and watches flooding, weir and rebuilding value.
- **Claims handling seen from the inside:** From boat insurance we know claims handling from our own work. That helps to set sums and records correctly when the policy is taken out.
- **Mill, farm and family in one place:** Buildings, vehicles, farm shop and your private cover come together with one contact who can explain German policies in English.
- **The Nammert family has arranged insurance since 1989:** Many mills have been in family hands for generations, and we work the same way. Our work is free for you; the insurer pays our commission.

## FAQ

### Is insurance compulsory for a mill?

Not by law. Banks usually require fire insurance when they finance, and under the Product Liability Act you are liable without fault for defective flour or oil.

### Do I need a master craftsman qualification to run a mill?

No. The miller trade is listed in Annex B section 1 of the Crafts Code and needs no master qualification.

### What does insurance cost for a small mill?

In our quoting, buildings, contents and liability usually come to €2,500 to €6,000 a year. Rebuilding value and fire protection make the difference.

### Is flooding covered for a mill?

Only with natural hazard cover. For mills right by the water insurers assess the location individually and often ask for a higher excess.

### Does insurance pay if we cannot deliver after a fire?

Only business interruption cover. It pays running costs and lost profit if the standstill results from insured property damage.

### Are my employees covered for accidents?

Yes, employees are insured by law under Social Code Book VII through the responsible Berufsgenossenschaft.

## Request quotes

We obtain quotes and come back with a comparison, free of charge. You can write in English. https://www.nammert.com/en/business-insurance-mill.php#anfrage

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Your broker: Norman Nammert, trading as NAMMERT. Insurance broker licensed under section 34d(1) of the German Trade Regulation Act. Broker register no. D-C08Q-TOSD4-37. NAMMERT Assekuradeur GmbH is a separate company. It does not arrange your contract.

NAMMERT Assekuradeur GmbH, Karl-Marx-Straße 4, 15711 Königs Wusterhausen, +49 3375 29 12 77, info@nammert.com. Wikidata: Q141141479.