Insurance for Your British Columbia Retail Store

February 12, 2024

You’ve opened your own retail store in British Columbia. Congratulations!

As a retailer, you have people coming in and out of your store daily. Do you have the right insurance package for your retail store to protect it against potential lawsuits and mishaps?

A retail store insurance package will help protect your B.C. retail store, whether you’re in Victoria, Vancouver, Coquitlam, Nanaimo, Duncan or elsewhere in the province.

Get an Insurance Quote

Ask your Western Coast Insurance expert about what type of retail insurance package you need for your clothing store, convenience store, bookstore, hardware store, beauty salon, craft store, sporting goods store, florist shop, drug store, among many other retail businesses.

We understand the retail insurance package that you need to protect your store. We’ll tailor your retail package to suit your needs at the right value for you.

Why do I need a retail insurance package?

You need a retail insurance package to help protect your B.C. small business from different types of risks.

Your retail insurance package can provide coverage for risks such as a customer slipping and falling, property damage, equipment breakdowns, or to protect the contents of your store.

Here are insurance coverages recommended for retail stores:

Commercial General Liability (CGL) Insurance: This type of insurance is also known as “slip-and-fall insurance.” Just like its name, it protects your store if a customer should slip and fall on your premises and get injured.

• This policy can help protect your business against any claims of third-party bodily injury or property damage that occur at your place of business.
• Commercial general liability insurance generally covers medical fees, legal expenses, and settlements regardless of the outcome of a lawsuit by a customer against you.
• Your CGL insurance policy should protect you from libel, slander, copyright infringement, and false advertising allegations.

Without commercial general liability insurance, you would be responsible for paying any liability costs out of your own pocket.

Many retail stores owners carry at least $2 million in commercial general liability coverage. Ask your Western Coast insurance expert about how much CGL insurance you need for your British Columbia retail operation.

Commercial Property Insurance: Commercial property insurance protects your B.C. retail business and its contents. It can help keep you protected from property losses, such as theft, vandalism, fire, or a flood.

What if there’s a heavy rain and the sewers back up and your business is flooded? You should consider adding sewer backup or overland flood coverage extensions, which standard business insurance policies typically do not cover.

Creating a content inventory is necessary if you file a claim for damage or loss due to an insured event.

Cyber Liability Insurance: Does your B.C. small business use e-commerce and take orders and payments online? Do you store client data electronically?

If you use computers for any purpose in your business, you could be at risk of a cyberattack or data breach. These attacks can have serious consequences for your business, both financial and reputational.

If your computer system is hacked, cybercriminals can sell the information. Without cyber insurance, you will have to pay out of your pocket for the cost of restoring your system. You may also be liable for damages to third parties whose information has been stolen and you may have to pay for notification expenses to inform customers affected by a breach.

Ask your Western business insurance expert how cyber insurance can protect your retail business as part of your retail insurance package.

Crime Insurance: Crime insurance provides coverage for events not covered by most property or liability insurance policies.

This type of coverage can protect your British Columbia retail business from losses due to:

• Employee fraudulent acts, for example: An employee forges your signature and withdraws money from your account
• Theft of money
• Counterfeit money or money orders
• Depositors’ forgery
• Credit card, debit, or automated teller card fraud

Product Liability Insurance: Product liability insurance provides protection against claims alleging third-party property damage or bodily injury caused by a product you sell, distribute, or manufacture.

Damages covered by product liability are usually the result of a defect in the design, manufacturing, or marketing, such as an incorrect label or a lack of safety warnings.

Business Interruption Insurance: Business interruption insurance supports you when your B.C. retail store cannot operate due to a covered loss. Being prepared for the unexpected can be the difference between recovering from a loss and closing your business permanently.

There are many losses that can force your business to shut down. Some examples include:

• Damage to your storefront from fire or vandalism
• Damage to a neighboring business
• A major reduction in revenue due to a client/supplier facing losses of their own
• A disruption in your supply chain

Business interruption insurance can help with expenses such as:

• Payroll
• Rent
• Utilities
• Property taxes
• Alarm monitoring
• Relocation of your business

Equipment Breakdown Insurance: This type of insurance provides coverage for property damage from the sudden and accidental breakdown of insured equipment not automatically covered by a standard commercial property policy. You’ll need to have a list of the equipment at your retail store and how much it’s worth.

Commercial Auto Insurance: If you have a business car that you use for your retail operation, it needs commercial coverage as part of your insurance package. Your personal car or truck insurance usually won’t cover your company vehicles.

How much retail insurance do I need?

It will depend on the size of your British Columbia retail store and what you are selling.

That means it’s unlikely that all retail outlets would pay the same monthly or annually for their coverage.