You’ve got your door store all stocked with doors, frames, hinges, and a whole lot more. But before you can start helping clients find the right points of entry, you need to make sure your shop has proper insurance.
The biggest risks facing a door store are the goods inside your store and the liability of someone getting injured as a result of your products. An independent insurance agent can make sure you have the proper coverage for your property, products, and yourself.
Common Risks for Door Stores
Insurance policies are designed to protect your door store against the many risk factors that occur as you conduct business. These policies serve as a buffer against lawsuits and losses which can potentially result in significant financial loss and/or bankruptcy.
Here are just a few of the risks that you may or may not be aware of while running your door business:
- A defective hinge that you sell injures a customer.
- A worker injures themselves while installing a door for a customer.
- An electrical fire destroys your inventory and your business equipment.
- Your Internet network is hacked and customers data is stolen.
- Your delivery truck is involved in an accident.
So it’s important to understand which coverages you should have, how much it costs, and how to get the best coverage for your door store.
Do I Have to Have Insurance for My Door Store?
In a majority of cases, having insurance for your door store is usually going to be mandatory. This is because third parties, like landlords and lenders, typically require insurance on your behalf to insure their investments. Insurance is normally mandatory if:
- You enter into a lease with a landlord that requires it to rent the premises.
- You have a number of workers employed at or above the state required minimum for workers' comp programs.
- A business loan originator or mortgage lender requires you to protect your policy within coverage limits of the property’s value. Note that if you do not provide insurance coverage, the lender may take the initiative to insure the property and pass the premiums to you.
Insurance is designed as a safety net to enable your business to operate without significant financial loss. In exchange for paying monthly or yearly premiums, your door store can replace or repair damaged property, insulate itself against large settlements made by workers and third parties, and more.
In relatively few cases there will not be a need for insurance. For example, a door store would have to be self-insured, the building would be owned outright, and the number of employees at the place of business would be below state minimums.
If you’re still undecided about whether your door store should be insured, contact an independent insurance agent today. An independent insurance agent will go over the various risk factors of your business and offer their advice on your particular situation.
What Types of Insurance are Available for My Door Store?
General Liability Coverage
General liability insurance is the most basic type of insurance for door stores, as it covers a number of types of claims that may be filed against your company:
|Product Liability ||The doors and any products used for installing your company’s inventory are covered by product liability. If, a door that your company installed develops a problem with these products, such as defective hardware or damage to property, this type of liability insurance covers the cost of damage.|
|Premises Liability || If a customer gets injured while on your premises, the cost of damage or lawsuits is covered by premises liability. For example, if a customer falls and is injured while they are on your showroom floor, premises liability covers the cost of medical care.|
|Completed Operations ||This coverage lasts after a door or other product has been installed. If something happens after it has been installed that causes the customer harm, such as a faulty switch that causes bodily injury, the costs are covered by completed operations.|
Commercial Property Insurance
Considering that a door store's supplies are susceptible to fire risks due to improper wiring, electrical malfunctions and overheating, having business property coverage ensures that the premises can be repaired or replaced should a covered event occur. This also includes such occurrences as storms and some natural disasters. Most rental contracts require this type of coverage to mitigate losses for renters.
Examples of business property coverage include:
- Your lighting equipment sparks a fire and ruins the roof of your showroom.
- A windstorm damages your storefront’s windows and cash registers.
Workers' Compensation Insurance
This type of insurance prevents you from paying for expenses related to any work-related employee injuries or illnesses. By paying premiums for workers' comp insurance, you’re able to avoid lawsuits and settlements by settling through state-run agencies. Because these programs are state run, minimum coverage may differ. However, only Texas doesn’t require workers comp for employees. Other states usually require coverage when you employ more than one full-time employee.
Examples of workers' compensation include:
- A garage door falls on a worker who requires time off work to recover
- A receptionist at your office develops carpal tunnel syndrome and needs to take stress leave
Commercial Auto Insurance
A commercial automobile insurance policy protects your door store from losses that arise when vehicle accidents happen, either on the road, at your property, or at a customer’s location. Most commercial auto policies cover the damage to your vehicle and contents that were destroyed. Bodily injuries are covered as well as theft or vandalism.
Examples of commercial automobile include:
- Your delivery driver accidentally runs over a customer’s parked motorcycle.
- Your company vehicle is determined to be at fault for a fender bender.
Business Owners Policy (BOP)
If you’re looking to combine most coverages mentioned above while also getting more for business-specific risks, consider getting a business owner’s policy, or BOP. BOPs offers bundled coverage that pertains to door stores, such as incorporating an automobile insurance package or crime insurance.
Of course, choosing the right insurance can be difficult, especially when comparing multiple policies simultaneously. That’s why you need the help of an independent insurance agent. Independent insurance agents are able to explain the fine print of most BOPs, offer unbiased information that doesn’t favor a particular company, and ultimately pair you with coverage that makes sense.
How to Reduce the Cost of Your Door Store's Insurance Coverage
There are a number of ways to reduce your insurance premiums for your door store, including:
- Bundling coverage under one insurer, which also makes paying your bills more convenient.
- Reducing risk factors around your establishment, such as providing workers with steel-toed boots and mandatory safety gear.
- Providing adequate oversight, enforcing safety protocols, and providing intensive training.
- Investigating any discount options offered by an insurer, such as installing carbon monoxide detectors and sprinkler systems.
Speaking with an independent insurance agent is a wise decision if you’re looking to save money on premiums or coverage for your door store. For instance, if you’ve scaled your business down as you reach retirement, you may qualify for lower premiums in the future. Or, you may want to have an agent help negotiate lower premiums with an insurer for years of working with that company.
How to Find the Best Insurance for Your Building Material Store
Insurance policies can be complex, and searching through options can be confusing, time-consuming, and frustrating. An independent insurance agent's role is to simplify the process.
When it comes time to purchase insurance, they’ll break down all the jargon and explain the nitty-gritty so you understand exactly what you're getting.
And should you need to file a claim, you’re not alone. Your agent will be right there to help guide you through every last step and get your business back to where it all was. How great is that?
Why Online Quotes Aren’t Always the Best Way to Shop
Getting your insurance quotes online can be tempting. Sure, it’s fast and easy, but are the quotes you are getting actually accurate? And are you getting quotes for all the different types of coverage your business needs?
Online quotes cannot give you the whole picture. They often omit important coverage, which may result in you being unable to get compensation if something disastrous happens. And they can leave out cost-saving opportunities such as discounts and bundling opportunities that an independent agent can help you take advantage of.
Instead of getting an online quote, find an independent insurance agent near you, and schedule a one-on-one consultation to discuss your options for the best coverage for your door store.
The Benefits of an Independent Insurance Agent
Independent insurance agents have access to multiple insurance companies, ultimately finding you the best coverage, accessibility, and competitive pricing while working for you. Find an independent insurance agent in your community here.