ACT Insurance released its 2026 Small Business Creatives Outlook Report on March 31, 2026, providing a data-driven analysis of the economic and risk trends shaping the creative economy. The report, based on survey insights from ACT-insured businesses and U.S. consumers, alongside proprietary claims data, highlights industry resilience and strategic adaptation among artists, makers, and vendors.
Key findings indicate stability in the creative sector, with most businesses reporting steady or slightly improved performance in 2025. Consumer demand remains consistent: nearly two-thirds of shoppers purchase handmade goods at the same rate as prior years, while 30% report increased spending with independent creators. In-person events such as markets, fairs, and festivals continue to drive revenue, with 71% of consumers citing the ability to see and feel product quality as a reason to attend. Many businesses are also expanding online, adopting a hybrid approach to reach customers effectively.
Despite these positive trends, operational pressures persist. Rising costs remain the top concern for creative entrepreneurs, alongside challenges related to event access, time constraints, and marketing. As a result, many are becoming more selective about their investments in growth. Daryle Stafford, CEO of Veracity Insurance, ACT's parent company, noted the adaptability of the creative small business community, stating, "Artists, makers and vendors are finding ways to adapt, expand their reach and build sustainable businesses."
The report also examines evolving risk trends using claims data. While overall claim frequency declined year over year, total claim costs increased. Weather-related events were the most common type of claim, accounting for nearly half of all incidents, while fire-related losses, though less frequent, carried significantly higher costs. These findings underscore the importance of pairing growth strategies with strong risk management practices.
Stafford emphasized that independent artists and makers are true entrepreneurs, and with the right protection and insights, they are well positioned to continue growing. The full report is available at ACT's 2026 Small Business Creatives Outlook Report. For more about ACT Insurance, visit actinsurance.com.
