Convenience stores are a great way to address the needs of customers who like late night shopping, but also carry with them a higher risk of operation. The stores stay open 24/7 and have minimal staff working overnight so they are a high value target for criminals.
Coverwallet began its journey in New York City in 2015 operating under the
Aon Insurance banner. At Coverwallet, you can access everything you need to
keep your company well-protected at an unbeatable price.
With a 100-year history of insuring businesses, Hiscox is well-known across
America and globally. With more than 500,000 small business customers,
Hiscox is fully aware and trained in the unique risks a business can face.
Thimble provides business insurance that can be tailored to your business by
the year, month, day, or even the job. At Thimble, the process to getting
the right business insurance is simple, scalable, and flexible.
Convenience store insurance can help cover financial losses due to late night theft, as well as coverage for the normal functions of the business.
Who needs convenience store insurance?
Any retail storefront that admits customers to purchase goods should be covered to minimize financial risk of claims or theft.
What insurance do convenience store businesses need?
Convenience store insurance can help protect you financially from employee injury, customer injury, and theft. Typically, convenience stores carry general liability insurance, workers’ compensation insurance, business owner’s insurance, and more. See what needs coverage in your convenience business and choose the policy that protects you from risk.
Common types of convenience store insurance
General liability insurance
This insurance helps protect your assets and business from lawsuits involving third parties with claims of bodily injury and property damage. These types of accidents which result in claims can occur during normal business hours and operations, but they can also occur when the business is closed so coverage is crucial.
Commercial auto insurance
This type of business insurance protects the business’s vehicles when they are on the road in the event of an auto accident. It can help cover expenses for bodily injury and property damage.
Workers’ compensation insurance
If an employee is injured while on the job, workers’ compensation insurance will kick in and cover the costs of lost wages, medical expenses, and rehabilitation. If an employee accuses the business of negligence and opens a lawsuit against the company, employers’ liability insurance will cover the expenses associated with the lawsuit such as court fees, lawyer fees, and settlements. Employers’ liability insurance is usually included in the workers’ compensation policy, but you should always verify the terms of your specific policy.
Cyber liability insurance
If your convenience business is the victim of cyber crime such as data breaches and theft of sensitive information, cyber liability insurance covers the costs arising from these events. It is recommended to carry this insurance if storing sensitive information like credit card numbers. Cyber crimes can include data breaches, malware, phishing, and denial of service attacks.
Commercial umbrella insurance
An umbrella policy can help cover financial burdens from claims that surpass the limits of your other insurance policies.
Commercial crime insurance
This type of insurance covers financial loss due to criminal acts for businesses that have a high risk of being the target of criminal activities. It does not include dishonest employees, only third party criminal activities.
What are the limits of convenience store insurance?
Convenience stores have the unique aspect that differentiates them from other businesses since they are open 24 hours a day and accept customers into the storefront to purchase goods. This exposes the business to higher risk than day businesses. That being said, a convenience store’s inventory is not as valuable as a jeweler’s and most likely gets cash pickups daily so there may not be a lot of money to steal. When considering a policy for a convenience store, the limits should reflect the level of risk associated. Below is a basic guide with median limits for convenience stores.
General liability insurance
$1,000,000 per occurrence $2,000,000 aggregate
Commercial auto insurance
$1,000,000 aggregate
Workers’ compensation insurance
$100,000 bodily injury per accident
Business owner’s insurance
$1,000,000 per occurrence $2,000,000 aggregate
Cyber liability insurance
$1,000,000 per occurrence $1,000,000 aggregate
Commercial umbrella insurance
$1,000,000 aggregate
Commercial criminal insurance
$500,000 aggregate
How much does convenience store insurance cost?
The cost of the convenience store insurance premium is dependent on several factors that all add up to give a risk rating to your business. Common factors that may influence the cost of your convenience store insurance could include where you operate, safeguards in place to protect your inventory, number of employees, historical number of claims against your business, and more. Below is a good starting point that shows median costs for convenience stores.
General liability insurance
$500 annually
Commercial auto insurance
$1,704 annually
Workers’ compensation insurance
$1,070 annually
Business owner’s insurance
$790 annually
Cyber liability insurance
$1,675
Commercial umbrella insurance
$760 annually
Commercial criminal insurance
$659 annually
How to choose the best convenience store insurance?
Since most providers offer similar products and services, it is up to you to determine which one you feel most comfortable with. Does one go the extra mile to earn your business? Is one more flexible with pricing and coverage? Figure out what is most valuable to you and ask the providers that meet that criteria for quotes.
Shop around by collecting quotes from providers that insure convenience stores.
Make an assessment of the risks associated with your business and choose a policy that adequately covers them.
The provider should be able to work with you on a customized policy that best suits your unique needs. Have them show a few different products and go through the different options, weighing the pros and cons of each one.
To see what customers really think about them, check out reviews for each provider to get insight into their customer service and customer satisfaction.
Third party companies like the BBB which rates how satisfied the public is with large companies, so this score is a good measure on how to qualify a provider.
