Introduction
Running a retail business involves numerous risks, from theft and damage to liability claims. This checklist will help you ensure your shop has comprehensive insurance protection.
Essential Covers for Retail Businesses
Buildings Insurance
If you own your premises:
- Sum insured reflects full rebuild cost (not market value)
- Cover includes fixtures and fittings
- Policy covers all insured perils (fire, flood, storm, etc.)
- Subsidence cover included if required
Contents Insurance
For your business contents:
- Stock adequately covered (consider seasonal variations)
- Fixtures and fittings included
- Till and cash cover appropriate for your business
- Computer equipment and EPOS systems covered
- Refrigeration breakdown included (if applicable)
Business Interruption
To protect your income:
- Indemnity period sufficient (typically 12-24 months)
- Gross profit sum insured accurate
- Cover for denial of access included
- Supplier and customer extension considered
Liability Insurance
Essential protection:
- Public liability minimum £2 million (check lease requirements)
- Employers' liability £10 million (legal requirement if you have staff)
- Products liability included (if you sell goods)
Additional Covers to Consider
Stock in Transit
- Cover for goods being delivered to/from your shop
- Appropriate limit for maximum load value
Money Cover
- Cash in transit protection
- Safe and till limits adequate
- Personal assault cover for staff
Glass Cover
- Shop front glass included
- Internal glass and mirrors covered
- Boarding up costs included
Goods in Trust
- Cover for customer property in your care
- Repair or alteration work covered
Cyber Insurance
- Data breach cover
- Business interruption from cyber attack
- Regulatory defence costs
Risk Management Checklist
Security Measures
- Alarm system installed and maintained
- CCTV operational and recording
- Adequate locks on all entry points
- Safe for cash and valuables
- Security lighting in place
Fire Safety
- Fire alarm system tested regularly
- Fire extinguishers serviced annually
- Emergency exits clear and marked
- Staff trained in fire procedures
- Electrical installation tested (EICR)
Health and Safety
- Risk assessments completed
- Accident book maintained
- First aid kit available
- Staff trained in health and safety
- Wet floor signs and procedures in place
Common Gaps in Retail Insurance
Be aware of these frequently overlooked areas:
- Seasonal Stock Increases - Ensure cover increases for busy periods
- Refrigerated Stock - Check deterioration of stock cover limits
- Customer Property - Items left for repair or collection
- Delivery Vehicles - May need separate motor policy
- Online Sales - Ensure policy covers e-commerce activities
Annual Review Checklist
Review your insurance annually:
- Stock values updated
- Any new equipment added
- Business activities unchanged
- Security measures still adequate
- Claims history reviewed
- Policy limits still appropriate
Getting Expert Advice
A specialist retail insurance broker can help ensure you have comprehensive cover without paying for unnecessary extras. We understand the unique risks facing retail businesses and can tailor a policy to your specific needs.
This checklist is for guidance only. Contact us for a full review of your retail insurance requirements.