Many people dream of one day owning a store, and for those who’ve succeeded in this endeavor, it’s become a way of life. With this new business venture, these store owners need to invest in ways to safeguard all they’ve accomplished. Investing in protections that can guard you against the devastating financial impacts of situations like injuries to employees or guests, property damage, lawsuits, or sudden loss of business income is vital to ensuring that your livelihood remains intact. Let’s look at some must-have insurance policies for retail businesses.
1. Workers Compensation for Retail Businesses
This type of insurance covers the medical expenses and lost wages of employees injured while working in the retail store. Investing in workers compensation provides immunity to most liability related to employee injuries, but some exceptions vary per state. In instances where you are not protected from liability, the employer’s liability section of worker compensation may cover the defense costs in the event your business is sued. This is an essential policy to not only protect your business but to ensure your staff members are well taken care of.
2. Commercial Auto Insurance
It can be easy to overlook commercial auto insurance for retail business owners, but if you or your staff perform any business-related driving, such as making deliveries or attending sales meetings, it’s a vital policy to have. This policy protects your business’ vehicles from losses relating to physical damage and your company from liability associated with property damage, bodily injury, and personal injury in the event of an accident. For instance, if your employee is delivering an online order to a customer and happens to run a stop sign, hitting another car, commercial auto insurance coverage will step in to help.
3. A Retail Business Owners Policy
A business owners policy is the most common type of business-related insurance and is a necessity for any retail company. This policy offers a wide variety of protections, such as general liability, personal injury, property damage, and more. Coverages can be tailored to suit the needs of your brick-and-mortar or online store, but let’s review some of the broad protections included in this policy:
- Commercial Property: This coverage will protect your storefront and other retail assets from covered entities such as fire, severe storms, theft, and vandalism.
- Product Liability: You customers can be harmed by how your products are manufactured, marketed, designed, or used incorrectly. In such cases, this coverage will help cover the costs of the fallout, including lawsuits or medical expenses.
- General Liability: General liability insurance will protect your business from legal liability when it comes to lawsuits associated with bodily injury claims, medical expenses, property damage, or personal or advertising injuries such as libel or slander.
- Employment Practices: If an employee or third-party claims discrimination, harassment, wrongful termination, or other damaging acts where you would be considered liable, employment practices coverage will cover your defense costs.
Contact your insurance agent to discover what other coverages your business owners insurance can offer your retail business.
These must-have insurance policies for retail businesses can help you keep your doors open and your finances protected in the event of a disaster or setback. As a retail business owner, you must ensure your investment is protected from loss of business income and general liability to commercial property damage and equipment breakdown. At TJ Woods Insurance, our agents can help you obtain the best business insurance for your needs and make sure your store is well looked after. If you need a set of comprehensive protections for your retail business, contact us today.
