Dried flower shops sell a wide range of products made from dried or preserved flowers, grasses, and other organic materials. If you own a dried flower shop, you might sell premade and custom arrangements and bouquets, flowers, greens, wreaths, potpourris, home accents, and gifts.
You may operate a brick-and-mortar store as well as an online store. Even a simple, single-location dried flower shop can face serious risks that can send your dreams and your business up in smoke.
Whether a customer trips and falls in your store or a product that you sell poses some kind of health risk, you need business insurance to ensure that you’re protected from the many risk exposures that you face every day.
Business insurance tailored to your unique risks can help you recover from simple claims for slips and falls on your premises, and even from the complete devastation caused by a fire or a tornado.
An independent insurance agent in your city can help you find customized business insurance solutions that help you protect your livelihood.
Why Do You Need Dried Flower Shop Insurance?
Your dried flower shop is exposed to a variety of unique risks that must be addressed with tailored business insurance policies.
One of your biggest risks is property damage. You have highly flammable inventory in your dried flower shop. A single spark could quickly engulf your store and destroy your business.
And no matter where you are located or what you sell, a severe weather event, a burglary, or vandalism can diminish or entirely destroy your inventory, leaving you no option but to pay to replenish it if you want to stay in business.
What’s more, you’re always at risk for someone getting hurt in your shop. And if something that you sell presents a health risk to people or animals (e.g., a dog is poisoned by consuming one of your products, or a person experiences a serious allergic reaction), you could be held responsible for paying for medical expenses. Worse yet, you could be sued.
For these reasons—and because of many other unfortunate circumstances that can occur—you need dried flower shop insurance to protect your assets.
What Does Dried Flower Shop Insurance Cover?
Dried flower shop insurance should be tailored to the unique risks faced by your business. First, consider the risk to your building or business property caused by unexpected events like fires, lightning, tornadoes, wind, and hail.
Next, be sure to address your significant liability risks. You’re responsible for compensating any customer or member of the public who gets injured on your property or as a result of buying something from you.
Your dried flower shop insurance should be made up of several basic policies to cover these risks.
With so many flammable items on hand, your store is especially susceptible to fires. Commercial property insurance covers your building and its contents, including computers and cash registers, inventory, equipment, furniture, fixtures, and more.
It helps you rebuild or make repairs when unexpected events—like a fire or severe weather—destroy your merchandise and your physical space (structure).
You might need some additional property insurance if you occasionally take products to sell at farmers markets, festivals, or other temporary locations.
Talk to your independent insurance agent about insuring your equipment, inventory, tools, and supplies while they are in transit from one location to another, or are being used offsite.
You’ll probably want to purchase inland marine insurance, which protects your equipment, tools, portable computer equipment, and other supplies from theft, loss, or damage while they are in transit to and from worksites.
After a property loss, you’ll probably need some time to replace your inventory and fixtures and rebuild your store. Business interruption coverage compensates you for lost business income and pays for certain operating expenses if you must temporarily close after a covered loss.
Liability insurance pays for claims of bodily injury and property damage to third parties due to your negligence. If your outdoor awning is improperly secured and falls on a passerby, you’ll be responsible for paying for the injured party’s medical expenses.
What’s more, if the person sues you, you’ll have to defend yourself and potentially pay out a financial settlement. A commercial general liability (CGL) policy protects you in these kinds of circumstances.
Your liability insurance also protects you from claims of slander, libel, or advertising liability. This can include allegations of making false statements, defamation of character, copyright violations, and unauthorized use of materials.
If an employee posts a false statement about a competitor on your Facebook page and causes reputational harm for that business, you could be sued. Your CGL policy would respond to this type of claim and pay for your legal defense and any financial payouts you’re required to make.
How To Avoid Gaps in Your Dried Flower Shop Insurance Coverage
Most dried flower shops will need more coverage than what is included in basic property and liability policies. Your independent insurance agent can help you decide what types of coverage you need to avoid any gaps in your protection.
First, if you operate a single store or even several stores, you may be able to bundle your basic property and liability coverage together into a packaged policy (business owners policy, or BOP) designed for small business owners.
You might also want to consider a variety of endorsements (coverage add-ons) to your basic property and liability policies, or you might need some additional stand-alone policies that provide the following types of coverage:
- Commercial umbrella insurance provides excess liability protection to any of several other policies you might have. If a customer injury in your store leads to an expensive lawsuit that exceeds the limits of your commercial general liability policy, your commercial umbrella policy kicks in with higher coverage limits.
- Workers’ compensation insurance is typically required for any business that has employees. It pays for lost income and medical expenses for employees who are injured on the job. If a floral designer sustains a severe hand laceration while creating a wreath, or another employee strains their back while erecting your farmers market stand, workers’ compensation insurance pays for related medical costs and compensates the employee for time away from work.
- Crime coverage protects your business if an employee or a group of employees engage in theft, forgery, or fraud that damages your business. It also offers coverage in cases of shoplifting and vandalism.
- Sign coverage pays for damage to outdoor signs that are not attached to your building when the damage is caused by weather, vandalism, fire, etc.
- Utility interruption coverage provides income protection if you are unable to operate due to a covered utility (water, electrical) interruption.
Why Do Dried Flower Shops Need Product Liability Insurance?
Commercial general liability policies typically contain products and completed operations coverage. This protects you when an item that you have sold causes some type of harm—property damage, illness, or injury—to someone that has come into contact with it.
Let’s say you sell a dried flower arrangement that unknowingly contains a plant that is poisonous to dogs. If a dog is harmed after coming into contact with the product, the customer who purchased it may sue you for veterinary costs and other damages.
Product liability insurance covers your financial responsibility for losses or injuries to a user, buyer, or bystander caused by a defect or malfunction of a product purchased in your store.
It pays for medical costs, economic damage, attorney fees, court costs, and any settlements or judgments that you must pay to the injured party.
Your commercial general liability insurance contains product liability coverage. Ask your independent insurance agent if your dried flower shop needs coverage for circumstances that are excluded from your CGL policy.
How Much Does Dried Flower Shop Insurance Cost?
Insurance costs are hard to predict for any business, because every business is unique.
Your costs will depend on the type of coverage you need and the coverage limits you require to adequately protect your commercial property and cover the liability risks that you face.
Insurance companies that specialize in businesses like yours will evaluate your unique characteristics, including:
- The location of your store
- The amount and value of your inventory
- Whether you own your building
- The number of employees
- The crime and weather risks in your area
These factors will determine your cost for coverage.
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 dried flower shop insurance. They’ll walk you through some 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.
TrustedChoice.com Article | Reviewed by Paul Martin
©2020, Consumer Agent Portal, LLC. All rights reserved.