As a retired insurance broker I can assure you that 1) your rates will go up and up when you stay with the same company; 2) that every 5 years you should be shopping rates; 3) that your 'business' is not being rated on YOUR experience and claims but one of a group of "like" businesses. (Now, how many quilting businesses does it take to be an "industry". I can't be certain but I would guess that a quilting business would be tossed into the same as tailor / seamstress and how many are there today? Where are they located? So many are in dry cleaners' shops. So if that is the 'industry', the claims could actually be high (using chemicals, damages, losses, etc.); 4) how many quilts belong to customers have you actually 'ruined'...probably none; 5) are your customers coming into your home? How much liability do you have? If there was a liability / injury loss to a customer, your homeowner's would likely cover it; 6) where is your quilting business located? If in a commercial building...of course you need good insurance coverage - if in your home, do you really need it? Are you doing enough business that IF a quilt was 'ruined' (rendered unrepairable) - that you could not cover the cost?; 7) where in your home is your equipment located? If it's in the basement, are you subject to flooding (and remember flooding is water coming in - by disaster...NOT by water backing up! These are all questions and thoughts that need answering or thinking about before even purchasing outside specific insurance. As to machinery itself, it can be added to your homeowner or renter policy on a rider (if needed) but likely covered in and under your existing policy. What is your deductible? Most people carry higher deductibles on casualty loss (fire, wind, etc.) than liability / injury. Would one claim for a quilt be worth the cost of premiums plus deductible? Unless you are doing tons of quilts per year, are in a commercial building, are 'ruining' quilts of others........I would strongly ponder 'self-insuring'. But, that's me. But, in all cases of insurance (homeowners, auto..) make sure you keep all companies on their toes by getting quotes from others...you WILL save money, guaranteed. You can't, however, keep changing companies every year or two or no one will want you! Hope this helps.
And, yes, location does matter (because of theft, distance to fire departments, water hydrants, etc.) Same as the way you're rated for homeowner's.