Street vendors often operate in large metropolitan areas, selling items like hats, gloves, umbrellas, magazines, artwork, t-shirts, and other items in temporary stands or locations along sidewalks or roadways.
Despite their relatively simple business model, street vendors need a trusted advisor who can help them find the best insurance coverage to protect their livelihood from the many potential and costly problems that can arise. Whether it is dangers to the general public or your employees, or unforeseen events like fires, storms, and theft, you need the right combination of coverage that addresses whatever you might be exposed to.
Why Do You Need Street Vendor Insurance?
Many street vendors have spent a great deal of time and money setting up their businesses. If you’re a street vendor, you realize that so much of what can go wrong is entirely out of your control. At any time, your hard work can be jeopardized if you don’t have the right insurance coverage.
Whether you own a stand from which you sell you products or you operate a temporary cart or kiosk, you need street vendor insurance to protect your investment when the unexpected happens. You need protection when you sustain a property loss after a fire, a severe storm, or a break-in. And you need additional protection in the event that someone is injured as a result of coming into contact with your business.
Here are just a few things that can go wrong that should be addressed with street vendor insurance:
- A customer or member of the general public trips over part of your temporary structure and is injured.
- Customers or members of the public damage your shop, inventory, displays, or temporary structure.
- The items that you sell (your inventory) are damaged or destroyed.
- Your temporary structure is damaged or destroyed.
- Theft or vandalism by customers, employees, or the general public.
What Does Street Vendor Insurance Cover?
Most businesses need a customized package of property, liability, automobile, crime, and other business insurance policies to protect them from financial losses. Street vendors might need simpler coverage than many other businesses, but you still need to protect your livelihood from certain risks. Talk to your independent insurance agent about the specifics of your business and your need for the following types of business insurance.
Property coverage for street vendors
Street vendors might need property coverage for the following types of physical assets, where applicable:
- Buildings and their contents
- Inventory and stock
- Business interruptions
Commercial property insurance offers protection for a permanent or temporary structure, a warehouse or office space, your inventory, a cash register or a computer, and any other commercial property that you own. If you sustain a property loss after a fire, a tornado, lightning, theft, vandalism, or some other covered event, this policy helps you pay to rebuild, make repairs, and replace destroyed or damaged inventory and other property necessary to run your stand.
When you have a property loss, you might also have to close down for a while in order to make repairs and restock. In these cases, your business interruption insurance, which is usually part of a commercial property policy, helps replace lost income during the shutdown period. It also covers some of your ongoing expenses, if applicable.
Liability Insurance for Street Vendors
Liability insurance protects your business when you are considered to be negligent or blamed for causing harm to an individual or another business. It is your financial lifeline if you are sued for some reason.
Commercial general liability (CGL) insurance provides broad protection for third-party bodily injury and property damage claims. If a customer or member of the public is injured because of some type of hazard caused by your temporary structure, your general liability policy pays for direct costs (medical bills, etc.) as well as attorney fees, court costs, settlements, and judgments if you are sued.
General liability insurance also provides coverage for product liability, advertising liability, slander, and libel claims.
Other Insurance Policies to Consider
Aside from major property and liability risks, you may need several other insurance policies to protect you from financial harm and unexpected events. The types of coverage you need will depend on whether you operate a permanent or temporary stand, whether or not you have employees, and your other unique circumstances.
- Commercial auto insurance protects any business-owned vehicles. In addition, if you or your employees drive personal vehicles for business use you need hired and non-owned auto liability insurance.
- Crime coverage protects you 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.
- Worker's compensation insurance is required for any business that has employees. It protects your workers from the costs of work-related injuries and illnesses. This coverage pays for medical bills and lost wages for employees who sustain cuts, burns, slip and fall injuries, repetitive motion injuries, or any other injuries or illnesses related to their work.
How Much Does Street Vendor Insurance Cost?
The cost of street vendor insurance depends on the policies you choose, the unique risks you face, the value of your inventory and equipment, and other factors like your location, number of employees, and the size of your establishment.
An independent 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 street vendor insurance. They’ll walk you through the handpicked policy options and explain the details.
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 omit important coverage that will leave you devastated if something unexpected happens. And they can leave out cost savings 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
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