A clock repair shop helps keep modern, vintage, and antique clocks functioning. While many clocks have gone digital, few things add character to a home or office more than an antique clock. When antiques break, customers look to the experts to not only fix the problem but maintain the integrity of the clock. As a business owner, this means you're responsible for any risks that may come to your business while also fully protecting the clocks that are in your care.
Whether your clock repair shop deals with local clocks only, or you're having clocks shipped to your business or handling repairs on-site, there are a variety of risks that you face. An independent insurance agent can help understand the ins and outs of your business and provide a comprehensive insurance package that meets your needs. But first, let's learn about the insurance options available to you.
What Risks Does a Clock Repair Shop Face?
Repairing clocks is meticulous work. But insurance isn't just about the risks you face while repairing a clock. You need protection for all aspects of your business including your building and any accidents that may happen in relation to it, your property inside the building, your employees if you have them, the clocks you're repairing, and any extra services you offer like delivery or in-home repair.
These are several unfortunate financial situations you could find yourself in as a clock repair shop owner.
Scenario 1: Your shop manufactures parts including pivots, pinions, bearings, and handmade gears. An employee is cutting brass and slices their hand. They sue you for their medical bills and lost income while they can't work.
Scenario 2: A hurricane comes through your town and floods your repair shop. The clocks that are in your possession receive massive water damage and are beyond repair. Your customer wants you to pay for the value of their ruined property.
Scenario 3: A client is bringing a clock into your shop and trips on the doorjamb on their way in. They break their wrist and insist that you need to cover their medical bills.
Scenario 4: You offer personal clock repair at a customer's home. Your employee is working on an antique clock when they accidentally knock the clock over, breaking it.
Scenario 5: A client mails you a clock so that it can be fixed. When you mail it back to them, it breaks in transit.
As you can see, lots of things can go wrong with a clock repair shop. These are just a handful of scenarios, and there are many more. Making sure you have proper insurance coverage makes it so you don't have to worry about being sued or what it means financially if a natural disaster strikes your building.
What Types of Insurance Does My Clock Repair Shop Need?
Business insurance packages are made up of a combination of property and liability insurance. There are general policies and special add-ons and extensions you can build upon so that your policy fully covers your business.
For a clock repair shop, these are the types of insurance you may want to consider:
- Commercial property insurance: You can't have a repair shop without the shop. Property insurance is designed to protect your building and your property inside from damage as a result of specific events. Keep in mind that it does not cover damage that is done to the clocks, that's different insurance that we'll talk about later. The following events are generally covered under property insurance:
- Burst pipes
Property coverage will pay to replace or repair damage to the following items:
- Exterior signs
- Landscaping and fencing
- Computer systems
- Furniture and equipment
- Inventory (if you sell clock parts)
Something else to note is that earthquakes and floods are generally not covered under property insurance, so you’ll want to make sure you add this coverage if your business is in an area prone to these natural disasters.
- General liability insurance: There are thousands of ways that business owners can be sued, and the last thing you want is to find yourself on the end of a legal battle without liability insurance. General liability insurance provides coverage against third-party bodily injury on your property or property damage that is caused by your store or products. Liability insurance covers things like:
- A customer slipping on a wet floor while walking through the store
- A fire in the parking lot that burns a customer's car down.
- A company suing you for advertising copyright infringement
If a liability claim is made against your repair shop, general liability helps cover:
- Court fees
- Medical expenses
- Third-party property damage
- Administrative costs
- Commercial auto liability insurance: If your repair shop offers to drive to a customer's house in order to fix their clock, then you have employees who are driving for the purpose of work. Whether you own a company vehicle or not, auto liability insurance protects you and your employees while driving for the job.
- Bailee’s customer insurance: Remember how we talked about the clocks in your care not being covered should a fire come in and burn down your business? Bailee’s coverage is the insurance that covers non-owned property that is stored at your shop or is in your possession.
- Workers’ compensation: If you employ more people than yourself, you'll most likely need workers' compensation insurance. If an employee is injured on the job, it covers medical bills and paid time off, as well as reduces the risk of being sued by your employee.
- Business interruption insurance: If a fire sparks and your business is out of business for several months, you won't be making money. Business interruption insurance protects you financially during this time until you're able to get your doors back open.
- Flood insurance: If your repair shop is located somewhere prone to flooding, then you will want to consider flood insurance. Your insurance agent can let you know if you’re in a flood zone.
- Sewer and drain insurance: If a natural disaster causes flooding of your repair shop, then flood insurance steps in. However, if a pipe breaks and water floods your store, you’ll need sewer and drain insurance.
- Cyber liability insurance: Cyber liability insurance covers any financial loss from fraudulent activity, website hacking, or theft of your customers' personal information, such as credit cards.
- Employment practices liability insurance: Also known as EPLI, this insurance provides coverage for your legal defense and potential financial damages if one of your employees sues your business for an illegal business practice such as sexual harassment, discrimination, or wrongful termination.
- Business owners policy (BOP): When it comes to insurance, there are clearly a lot of options. A business owners policy, or BOP, is a comprehensive insurance option that includes the following policies:
- Property insurance
- Liability insurance
- Business interruption insurance
- Vehicle coverage
- Crime insurance
- And more
You can adjust what is included in your BOP policy which could result in it being a more effective route than purchasing those insurance policies individually.
What Does Clock Repair Shop Insurance Cost?
As with any business, the cost of coverage for your repair shop will depend on a number of factors. These include:
- Number of employees: The more employees your repair shop has, the greater the likelihood of risk, so premiums are higher.
- Size of premises: Larger facilities and several locations presents more risk and increasing premiums.
- Payroll amount: Because workers' compensation insurance reimburses employees for a portion of their lost wages, having a larger payroll results in higher premium payments.
- Claims history: If your business has a history of incidents resulting in legal action, you will be considered a greater risk by the insurer and will typically have to pay more in premiums. Some insurers will also decline to insure accident-prone businesses, so take active measures to secure your clock repair shop.
- Danger of operations: If you offer repair for all types of clocks, allow customers to ship you their clocks, and offer in-home repair, there is more potential for risks than if you simply repair clocks within a building.
- Automotive demographics: Young drivers under the age of 25, particularly males, cause higher premiums. Similarly, regular driving in urban areas and high-traffic zones causes more accidents, so premiums are also higher for these reasons.
If you are a sole proprietor with just a few employees, you can expect to pay far less for your business insurance than a multi-location business with numerous employees, a warehouse, and a large and valuable inventory.
A local independent insurance agent can obtain a variety of customized quotes on your behalf. That way, you can be sure that the policies you select are offered to you at a reasonable price.
How to Find the Best Insurance for Your Clock Repair Shop
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.
An agent will help determine the risks involved with your clock repair shop and the best coverage to protect all aspects of your business.
When it comes time to purchase insurance, they’ll break down all the jargon and explain the details, 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 life back to where it all was. How great is that?
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Can't I Just Shop Insurance Quotes Online?
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 repair shop.
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.