Paint Store Insurance Coverage
If you own a paint and wallpaper business, you know that paint is always in high demand. You probably have a store full of inventory: wallpapers, wall coverings, paints galore, brushes, and pans. Of course, you have mixing machines and store fixtures. So what do you need to protect your business? Insurance. What insurance coverage should a paint store get?
Business Owner's Policy (BOP)
The first type of insurance you will want to look into is a business owner's policy (BOP). A business owner's policy is a bundle of insurance policies and endorsements put together for a specific type of business. In your case, this would be a business owner's policy put together for retail stores. Because it is bundled, you will usually pay less than you would if buying each type of coverage separately. A BOP typically includes general liability insurance, business interruption insurance, commercial property insurance, and numerous endorsements.
Commercial Liability Insurance
Commercial liability insurance—more commonly known as general liability insurance—includes both product liability and premises liability. These coverages protect your shops when the prospect of lawsuits arises.
Product liability insurance covers legal defense fees, court costs, and settlements or judgments awarded when a customer sues due to a product you sold to them. So if the claim is that there was a defect in the product or the product caused damages to someone's person or property, this is the coverage you will want to have.
Premises liability covers third party accidents or damage to personal property alleged to have been sustained in your place of business. This coverage can cover medical costs, including ambulance, court and legal fees, and settlements or judgments awarded.
Example: A customer claims that they experienced ill effects from fumes after visiting your store and they end up in the hospital. Your insurance settles the case and pays for the medical expenses as well as a small settlement.
Commercial Auto Insurance
There are times when you or your employees use a vehicle for business use. It is for those times you need to ensure that you have business auto coverage. Business auto insurance will protect you and your company from having to pay when your vehicle is in an accident during the course of work. You can structure your coverage to allow the insurance policy to pay for the costs of injuries or damages resulting from an accident as well as other risks involving your vehicle.
Example: One of your employees delivers a paint sprayer to a customer. On their way to their house, they get in an accident. Your employee is fine, but the car is significantly damaged. Because they were using the car for work purposes, their personal auto policy won’t cover the damage—so you’re on the hook.
Commercial Property Insurance
You want to protect the business that you’ve worked so hard to build. Your store is full of expensive equipment and paint. The last thing you want is to lose it if a disaster hits. Commercial property insurance can cover the cost of repairing your building and replacing goods if damaged by natural disasters or fire.
Example: A fire starts in your shop and the paint thinner causes the fire to spread rapidly, causing significant damage and loss of products. Luckily, your property insurance will help pay for repairs and replacement of your inventory.
What Other Insurance Policies Should You Consider
Other policies a paint store owner should consider include:
- Pollution Liability Insurance: Because paints are considered pollutants and you may stock other chemicals (such as paint thinners) you need pollution coverage. If there is an accident or you dispose of paints/chemicals incorrectly, your business could be held liable.
- Employment Practices Liability Insurance: EPLI covers business owners and managers if they are accused of misconduct such as discrimination, sexual harassment, wrongful termination, etc.
- Employee Dishonesty Coverage: If one of your employees steals from the business or is conducting illegal operations on your premises, this insurance can help cover your losses.
- Workers’ Compensation Insurance: Workers’ compensation insurance pays for your employees’ medical costs and lost wages if they are injured or become ill on the job. It also protects the business from being sued.
Get a Free Paint Store Insurance Quote
Let us help you find protection for your business and keep your mind at ease. At Tivly, our mission is to help medium and small businesses manage risk by finding business insurance quotes at a reasonable price. To get a free paint store insurance quote, complete the form at the top of the page or give us a call at 1-877-907-5267.
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