Your shop is your livelihood, so it makes sense to ensure you have the right cover in place to protect you against anything that might affect your ability to do business.
You may have stock on the premises, which needs protecting against theft and damage. You’ll also need to consider what cover is required to protect against claims from members of the public in the shop.
It’s also worth thinking about what would happen if you had to close the shop for a period, for whatever reason. What would be the implications of a few days or even weeks without trading?
Here are a few of the different types of insurance you might want to consider to help protect your shop and keep it running smoothly:
- Public liability insurance: If someone is injured at your shop or their property is damaged, you can claim on your insurance to cover any compensation due to them, or any legal costs if they take you to court. With members of the public in your shop every day, this is particularly important.
- Contents insurance: Your stock is what keeps you in business, so it’s important to have this cover to insure you against theft or damage. It can also cover shelving, furnishings, computers, till systems and other business equipment you may have on the premises.
Consider if you need to cover for a seasonal increase in the value of your stock, for example in the run up to Christmas. Shops selling food and drink may also want to check for cover for frozen stock and items of high risk of being stolen for example, alcohol and tobacco. Some businesses such as antiques shops, jewellers or electronics shops might want to check the cover for high-value items. You will also need to understand if your goods are covered while in transit or if you need additional cover. Stock is generally insured at its trade price.
- Employers’ liability insurance: If you employ any members of staff, you’re legally required to have this insurance in place. It protects you if your employees are injured or become ill as a result of working for you.
- Business interruption insurance: This protects your business if you’re unable to trade for a while, for example because of a fire or a flood. Buildings and contents insurance will cover the fixtures, fittings and stock, but business interruption cover will help protect you against lost sales and costs incurred while you get things up and running again.
- Buildings insurance: If you own the building where your shop is located, you’ll need buildings insurance. This usually covers the cost of repairs to a building’s structure, or even full re-building if needed.