New York Retail Store Insurance (NYC) – policies and cost

Retail store Liability Insurance in New York  – (NYC), is an important type of insurance to have for any individual who conducts business selling to the public from street-front shops.

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If you’re a shop owner, you should buy retail store liability insurance, and here’s why! 

What actions do retail stores do in New York? 

But first, a retail store should not to be mistaken for a shop. There are many studios that include the word shop in their name, like repair shop that are not selling products, but provide services to the public.

The latter usually has some sort of registered license, and so they need to get their own liability insurance in NYC. A cashier in New York is likely to be younger than the average for the state, and to earn less than the average for New York.

Retailers deal in public to sell merchandise to other businesses for personal consumption and so need Small Business insurance in New York to cover all possible risks.

Retail Store Insurance in New York

General statistics

About 6% of the total labor force in New York was employed in the retail sector in 2020. 

Interesting fact – workers in NYC are ten time more likely to find jobs in clothing stores than in appliance stores.

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What are the standard forms of retail store insurance policy types in New York? 

General liability insurance.

The average general liability policy for retail stores in New York covers a total of $2 million for the whole year, with a cap of $1 million for a single submission.

Professional liability insurance

Almost all retailers in New York will see the need for a policy of at least $10000, and many choose much more when their own type of business warrants it. In some cases, the insurance company in New York gives an incentive to include a deductible of a few hundred dollars, to stop the nuisance of ill-considered claims.

Product liability insurance

The standard level of cover in NYC, is worked out on the type of merchandise that the store provides as well as the volume of sales.

Commercial vehicle insurance

As soon as goods leave your premises in New York, your standard insurance stops cover. If you are doing your own issuing with a truck, then you require special policy giving you commercial vehicle insurance in New York for the vehicle, the driver and the contents.

Commercial insurance

Retail business depends on stock and a physical shop. This means tying-up your money into premises and goods, and you cannot afford to let this walk out the door. Commercial insurance in New York is especially designed to take into account the dangers that can end up costing you a lot of money.

Property insurance

New York carries special risks when it comes to buildings, and any business must take out the proper cover to protect property and contents. 

As well, the possibility of disasters is increasing because of climate change, so every merchandiser should take care to get all the cover necessary to cover even the most remote possibility.

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Business Income insurance

There has been a history of ups-and-downs in NYC, that have hit retail businesses hard. It is clever to get proper cover in place before such a calamity occurs, rather than to expect that you can never be hurt.

Average costs of these types of insurance in New York

Although every retailer is unique, there are enough examples of usual quotes from insurance companies in New York for us to give rough guidelines. Of course, you should always check with a broker of what’s relevant for your business.

The below list is for annual premiums for the main types of insurance retailers need in New York.

Types of insurance Price range
Commercial insurance $844 – $2699
Property insurance $1039 – $3445
General liability insurance $579 – $1653
Commercial vehicle insurance $1817 – $2961
Public liability insurance $353 – $635
Business income insurance $395 – $1404

Cost of insurance in New York depends on many different factors

Please remember that the above figures are based on averages for small retail businesses. The size and location of your business in New York can have a big impact on the cost, and also the type of trade and inventory will.

For Example – a liquor store on the high street has a much different risk of vandalism than a florist conducting New York retail sales that is located inside a large mall, so the costs of the insurance will be very different.

FAQ section:

Do you need business insurance in New York?

Every retailers in NYC, will have to have at least some insurance, covering regulations because they are dealing with the public, and also probably to qualify to be permitted to register with a business license in New York . As well, insurance in New York is especially designed to take into account the dangers that can end up costing you a lot of money.

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What is considered a retail store and what is not?

Some businesses use the phrase “shop” in their definition, but don’t really act as retailers.

For example:

  • auto repair shop
  • repair shop
  • tattoo shop
  • body shop
  • machine shop
  • motorcycle repair shop
  • auto body shop
  • dram shop
  • coffee shop
  • bike shop
  • tire shop
  • coffee shop
  • mechanic shop

A better wording would be if the business sells many of the following to the public:

  • Specialty products for narrow sectors, like florists, jewellers.
  • Entertainment, communication, and technology goods.
  • Apparel like babywear, kids, women’s and men’s clothing.
  • Food and beverages as in supermarkets, liquor stores, fruit & vegetable grocers and specialty food stores
  • Books, newspapers, magazines and office supplies.
  • Home living and homeware, trade, and gardening goods.
  • Sport, recreation, and leisure goods.
  • General retail as in department stores and clothing retailers.

Where to find the right insurance?

In every community in New York you will be able to find a qualified insurance agent or broker that can advise you on your best options. Most independent brokers and agents work six days a week, with the following opening times.

Opening Hours:
Monday – 8:00 AM – 6:00 PM
Thursday – 8:00 AM – 6:00 PM
Wednesday – 8:00 AM – 6:00 PM
Thursday – 8:00 AM – 6:00 PM
Friday – 8:00 AM – 6:00 PM
Saturday – 7:00 AM – 1:00 PM