Clothing Shop Owners Need the Right Commercial Insurance

Ah, the fascinating world of clothing fashion!

If you are in the business, you enjoy the inherent excitement and challenge of the unique venue. Along with all the fun, however, comes loads of hard work. From the planning stages, to the site’s location, to merchandise picks and worker hires. The crowning feature of everything you invest in should be acquisition of a tailored commercial insurance policy – coverage that guarantees your financial protection in the event of losses and damages.

Below find examples of insurance claims taken from the files of a popular independent insurance agency:

• Property Claim
One day, one of the workers employed at a popular dress shop dropped a lit cigarette butt in the stock room and started a fire. The fire was a severely damaging one, resulting in $45,000 in building damage, as well as $14,000 in business personal property damage. In addition, the boutique could not operate for 30 days as the necessary restoration work took place. This caused $18,000 in loss of income and $12,000 in extra expenses losses.

• General Liability Claim
While shopping at a casual clothing shop geared for young women, a customer slipped on the freshly mopped flooring near the rest room. The woman suffered a fractured arm and filed a lawsuit against the ‘Stripes’ store for the extensive medical expenses she had incurred. The store’s commercial insurance paid $5,000 compensation towards her hospital emergency room care, as well as the ambulatory transporting fees.

• Employee Theft Claim
The last-shift worker at a gentleman’s clothier shop said he did not remember to activate the alarm when leaving. The statement waved a bright red flag for the business owner who noticed merchandise missing every time this particular employee was the last one to leave. The business owner also found that his register was missing cash each time the worker left the premises last. The owner filed a police report and submitted an employee fraud insurance claim, as well as a cash and securities claim.

• Equipment Breakdown Claim
A specialty big-size clothing store for men was a thriving establishment where many hard to fit customers came and bought merchandise. One day the hot water heater located in the basement failed. The clothing shop was forced to close its doors to shoppers for more than three hours. This caused loss of income to the business and inconvenience to customers. The ‘Big Man’ shop immediately thereafter submitted a claim to the insurance company.