Furniture stores are where people go to spruce up their home. The wide selection and being able to test the furniture out can help people imagine what it would look like in their house. Sometimes a couch can have a faulty frame or a chair can have a weak leg and the customer can get injured. A good insurance policy can protect you from claims made against your business.
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.
Being a furniture store owner, your primary asset is your inventory. Couches, tables, beds, etc., all have varying values in the market and their theft or destruction poses a high risk for furniture stores. This is why furniture store insurance is critical to securing your business’s financial safety in the event of an unforeseen event such as the building collapsing from an earthquake or theft.
Who needs furniture store insurance?
All stores or businesses that conduct sales of furniture should have some varying degree of furniture store insurance. It can protect the furniture at the store itself and the furniture that is in storage in a different location. Since furniture stores rely on sales of inventory, insurance to protect that inventory should be top priority.
What insurance do furniture store businesses need?
Aside from normal operational risks associated with furniture stores, a business owner needs to consider the added precaution of insuring the inventory as well. Normally, furniture stores carry general liability insurance, commercial auto insurance, workers’ compensation insurance, and more. It is important to have the correct coverage so that all aspects of the furniture store are protected from whatever may come.
Common types of furniture 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 insurance covers any injuries and/or property damage you or an employee may cause to another person or business while driving a company vehicle during day to day operations. This type of auto policy can also include coverage for rental vehicles as well as the personal cars of employees used for your business.
Workers’ compensation insurance
Workers’ compensation insurance can help cover if an accident occurs in the workplace or if an employee is on company time, off premises and has to seek medical care. Employees can only file a claim for workers compensation if their injury was brought about while on duty at their job. Common claims filed include injuries from a fall, operating or being around heavy machinery, and strains from bodily exertion.
Cyber liability insurance
If your furniture 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.
Business owner’s insurance
To save some money on the premium, a business owner’s policy combines both the general liability and commercial property insurance into one plan. It is a cost effective way to get coverage for your furniture store.
What are the limits of furniture store insurance?
Like any other business, it is important to assess the exposure to risks that your furniture store has and choose a policy with appropriate limits. If you have a large shop with a lot of valuable inventory, you may look to have a higher limit to protect your inventory in the event of a large-scale theft that cleans you out. Additionally, the more successful your store is, the bigger a target it is for cyber attacks and higher potential for claims against it. Assessing the value of your inventory and potential risks will be a good starting point to identifying the best limits for your policy. Below is a basic guide with median limits for furniture 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
How much does furniture store insurance cost?
The cost of the furniture 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 furniture 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 furniture 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
How to choose the best furniture 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 furniture 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.
