Owning any type of small business comes with a great deal of risk. And part of your job as a coat store owner is to protect your business with appropriate insurance coverage, so you can continue to sell coats even when something goes wrong.
Unexpected problems can bankrupt a small business. Consider the consequences if you were sued for some reason, if you lost your inventory in a fire, or if your store was burglarized. Even minor shoplifting can eat into your profits and hinder your ability to operate profitably.
That’s why business insurance is a top priority for any coat store owner. Working with a local independent insurance agent, you can find coverage that is tailored to the unique risks of a coat store, and gives you the peace of mind you need to focus on running your business.
Why Do I Need Coat Store Insurance?
Something as simple as a wet floor on a rainy day can send your coat store down the road to ruin. If a customer slips and falls in your store, a seemingly minor injury can bankrupt you after you’ve paid for medical expenses and other damages for the injured party. If the injured customer sues you, the costs to defend yourself and pay out a settlement can be devastating.
A variety of other mishaps can turn into a disaster, as well. Shoplifting can take a huge bite out of your bottom line over time. Problems with your computer system can leave you unable to process sales during critical times. Worker injuries, employee theft, cyber attacks, fires, and severe weather can all wreak havoc on your coat store and your ability to operate.
But with appropriate coat store insurance, you’ll have somewhere to turn.
What Does Coat Store Insurance Cover?
The biggest threats to your coat store are property losses and liability claims. You’ll need both kinds of coverage to protect your store.
Property Coverage for Coat Stores
Property losses can come from fires, severe weather, theft, and other crimes. When these kinds of events happen, you can also face loss of income if the damage renders you unable to operate or meet sales goals for some time while you make repairs, rebuild your store, or replace lost inventory.
Commercial property insurance is your lifeline in these situations. It covers the costs of repairing or replacing damaged or destroyed physical assets, such as your actual store structure (if you own your building) and its contents, such as computers, fixtures, inventory, artwork, furnishings, display shelves, and more.
For a coat store whose inventory would be entirely destroyed by smoke, fire, or water, this coverage is essential to securing your ability repair or replace your business property in the face of disaster.
Business interruption insurance complements your coat store property coverage. Imagine that you have an extended interruption due to a covered loss (e.g., fire, weather, theft) during your peak season—say, over Thanksgiving weekend or during the month of December. You might never recover the lost sales or be able to reopen for another season.
But business interruption coverage, or business income coverage, protects your earnings if your business must temporarily close because of damage caused by some type of disruption (fire, hail, wind, equipment breakdown). This coverage is usually quite affordable and pays for rent, employee salaries, lost income, relocation fees, and more.
Liability Coverage for Coat Stores
You might not think that a coat store is teeming with danger. But customers and members of the general public can get injured on your premises in a variety of ways, from being stuck by a pin in a garment to hitting their head on a fixture or being hit by a falling display. Injuries can range from a scratch to a concussion—or worse—and you are responsible for compensating the injured party.
Medical bills and other related expenses are a lot to cover for a small business. And they’re just the tip of the iceberg if you are sued. Then you’ll be on the hook for attorney fees, court costs, and any settlements you have to pay.
That’s where your coat store commercial general liability insurance comes in. It offers broad coverage for all kinds of liability claims, and pays for expenses for the injured party as well as your legal expenses and settlements or judgments if you are sued.
Many small business owners purchase a business owners policy (BOP), which packages property, liability, and business interruption coverage into a single, affordable package policy.
Other Coat Store Insurance to Consider
Most coat stores will need several other types of coverage to be completely protected. You can purchase endorsements (add-ons to your basic policies) or stand-alone policies as needed to fill all of the gaps.
- Crime coverage: Pays for loss of inventory due to theft of merchandise from shoplifting, and even for loss of money and merchandise stolen by employees.
- Commercial umbrella insurance: Provides an important safety net for cases when a claim exceeds the coverage limit on your general liability policy. If you were hit with an extremely costly lawsuit, this policy would kick in when the coverage on your general liability policy was exhausted.
- Workers’ compensation insurance: This is required for almost every business that has employees. It compensates employees who are injured on the job by paying for medical expenses and lost wages related to their injury. Your employees can trip over racks, injure their backs while unloading shipments, fall off ladders, and more. This coverage ensures their expenses will be covered in these cases, and prevents them from suing you for additional damages.
- Cyber liability insurance: This is important for any business that uses, transmits, or stores electronic data. And if you sell coats online in addition to your brick-and-mortar store, this coverage becomes essential. It pays for any costs related to a cyber breach as well as any related legal costs if a customer or supplier who was harmed by the breach sues you.
How Much Does Coat Store Insurance Cost?
Coat store insurance might cost around $500 to $1,500 per year for liability coverage alone. Your costs are likely to be higher or lower than average depending on the unique characteristics of your business, such as the location, the number of employees, how much inventory you keep on hand, whether you own your building, and many more variables.
The amount of coverage you need and the deductibles you choose also impact your coat store insurance rates.
Find and Compare Quotes
An independent insurance agent can work with you one-on-one to determine the types and amounts of coverage you need. Your agent can get quotes from multiple insurance companies so you can evaluate the cost and coverage options and make the best choice.
Benefits of an Independent Agent
Our agents simplify the search process for finding the right coat store insurance. They’ll walk you through the handpicked policy options and explain the details and options.
Most importantly, they’ll be there for you when claim time comes. They know the ins and outs of the process and will make sure your claim is handled appropriately.
The Lowdown on Online Quotes
Online quotes can be tempting. They are fast and easy to get—but are they accurate? And are you getting quotes for the right coverage? For business owners, choosing speed over accuracy can cost you.
Online quotes can’t and don’t see the whole picture. They can leave out important coverage that will leave you devastated if something unexpected happens. And they can leave out cost-saving opportunities that an agent can help you take advantage of.
Instead of getting an online quote, find an independent insurance agent now, and get one-on-one consultation and affordable options for the best coverage for your unique needs.