Carpet Shop Insurance: Cost & Quotes From $11/mo

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Carpet improves the look of the interior where it’s placed. It also helps to keep the room warm. There are many types of carpets, and carpet shops ensure that consumers find what they need. Insurance isn’t a requirement when running a business. However, no carpet business got harmed by getting insured. 

The carpet you’re selling might accumulate dust and trigger the asthma of a customer.  In case you install carpets aside from selling, then it’s possible for the customer to file a claim after discovering that the installed carpet has ripples or buckles. Insurance can also help if a carpet cleaning contractor you hired to tidy your shop experiences a work-related accident. 

Carpet shop insurance is a must for any new or established carpeting company. Understanding coverage options and shopping with multiple companies will make sure your carpet store insurance offers the best coverage for the best price. 

How Does Insurance Help Your Carpet Business?

For the business owner, maintaining financial solvency is everything. When a loss occurs, it can bankrupt a company or prevent them from executing planned growth strategies. 

Carpet businesses with good insurance coverage don’t have to put things on hold during adverse events because they don’t suffer the financial loss. In other words, insurance helps to keep business operations running as if trouble didn’t happen. 


Carpet Shop Liability Insurance

At a minimum, every business should have a commercial liability policy to lessen the financial repercussions of a lawsuit. Carpet shop liability insurance comes in the form of a professional liability policy, general liability policy, and product liability policy.  


General Liability Insurance for Carpet Shops 

CoverWallet  NEXT (Best) Thimble  Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $300,000/$1,000,000 $1,000,000/$2,000,000
Aggregate limit  $2,000,000 $1,000,000/$2,000,000 $1,000,000/$2,000,000 $300,000/$2,000,000 $1,000,000/$2,000,000
Products and completed operations aggregate limit  $2,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
Advertising injury coverage aggregate limit  $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000
Tenant’s legal liability coverage limit  $100,000 $100,000 $5,000 $100,000 $1,000,000
Waiver of subrogation included? Yes No Included Can be included No
Hired/non-owned auto liability coverage included? Yes No Excluded Can be included No
Equipment breakdown floater included? No  Yes Yes Can be included No


A carpet store insurance package offers a general liability policy as a primary coverage. General liability insurance covers the following exposures:

  • Bodily injury liability-General liability insurance covers physical injuries to a person as a result of business operations or accidents. Costs covered are medical treatment, legal defense, and court judgments 

  • Property damage liability-General liability insurance can help if a customer has his or her property damaged or lost while in the premises of your business. Costs covered are refunds, legal defense, and court judgments 

  • Advertising and personal injury liability-General liability insurance cover injuries suffered to one’s reputation or intellectual property as a result of your actions. These claims can involve subjects like slander, libel, and privacy violations

In What Situations Can You Use General Liability Insurance as a Coverage for Your Carpet Shop?

You can use general liability insurance if these things happen in your carpet store:

  • A customer slips and falls on the wet floor

  • A heavy carpet falls from the display rack and hits a shopper on the head

  • Your employee accidentally cuts a customer while cutting the carpet down to the exact dimensions preferred

The Customer is Stating That Their Family Member Got Sick Because of a Used Carpet They Bought From Me. Can General Liability Insurance Help?

Used carpets can be infested with bugs and parasites, which may cause sickness. The thing is, illnesses contracted from a product you’re selling fall out of the scope of general liability insurance. Therefore, coverage can’t apply in such a case. 


Professional Liability Insurance for Carpet Shops 

CoverWallet (Best) NEXT  Thimble  Hiscox The Hartford
Per occurrence limit  $1,000,000 $1,000,000 $1,000,000/$2,000,000 $1,000,000 $1,000,000
Aggregate limit  $2,000,000 $2,000,000 $1,000,000/$2,000,000 $1,000,000 $2,000,000
Name additional insureds? Yes Yes Yes Yes Yes
Waiver of subrogation included? Yes No Yes Can be included No
Deductible  $500 $500 $500 $50/$10,000 $500


Add a professional liability policy to your carpet shop insurance package if you don’t only sell but also install carpets. Professional liability insurance grants protection if a customer files a claim for negligence, inaccurate advice, misrepresentation, or missed deadlines. Use the table above to see which insurance company offers the best professional liability insurance for carpet shops. 


In Which Situations Can You Use Professional Liability Insurance?

You can use professional liability insurance if the following happens and gives the client a reason to file a claim:

  • Your client ordered a carpet and requested an installation. Your employees lost the carpet or damaged it during the trip

  • Your employees demanded further commission. The client complained about paying exorbitant rates

  • Your employee lied about the information about a particular carpet to make a sale

  • The client demands reimbursement and filed a claim because the installed carpet wasn’t stretched well or developed tears 

Will Professional Liability Insurance Help if You’re Accused of Selling Illegal Goods?

Hand-woven Persian carpets are illegal in the USA. In case you mistakenly sell this kind of carpet and authorities find out, can professional liability insurance help?  Coverage can’t apply. This is because the sale of illegal goods is an exposure not usually included in the terms of professional liability insurance. 

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Commercial Property Insurance for Carpet Shops 

CoverWallet NEXT (Best) Thimble Hiscox The Hartford
Building coverage limit (minimum) $50,000 $260,000 $25,000/$500,000 $25,000 $50,000
Contents coverage limit (minimum) $50,000 $35,000 $25,000/$500,000 $15,000 $50,000
Outdoor signs Excluded $2,500 Excluded Included Excluded
Accounts receivable  Excluded Excluded $5,000/$10,000 Included Excluded
Money and securities Excluded $2,500 $1,000 Included Excluded
Lock and keys  Excluded $2,500 Excluded Included Excluded
Business interruption floater Excluded Included Included Included Excluded
Equipment breakdown floater Excluded Included Excluded Included Excluded
Inland marine insurance floater Excluded Excluded $10,000 Excluded Excluded
Employee dishonesty floater Excluded $5,000 $2,500 Excluded Excluded


Aside from lawsuits, another large cost a carpet shop incurs is property damage. This is the breakage or loss of inventory, equipment, or facilities. You can avoid incurring a lot of losses by purchasing commercial property insurance. Use the table above to see which insurance company offers the best commercial property insurance for carpet shops. 


How Does Commercial Property Insurance Help Your Carpet Business?

Commercial property insurance will allow you to recover financial losses if the following happens:

  • Thieves broke into your carpet shop’s storefront and managed to get inside to steal cash, some carpets on display, and other valuables

  • A structural fire happened. Your carpet shop and its contents were completely obliterated

  • A car crashed into your carpet shop and caused some major damage to the front of your carpet shop and the items on display 

  • Your carpet shop’s sprinkler system malfunctioned. The resulting spray of water damaged some electronic equipment and carpets on display

Will Commercial Property Insurance Work if the Carpets Inside Your Store is Damaged by Vermin? 

No. Commercial property insurance doesn’t cover the damage to inventory that’s caused by vermin or bugs. However, there might be an endorsement that allows you to cover this gap. That said, consider talking with a representative before purchasing the commercial property policy for your business.


My Shop Offers Patching Services. Are the Carpets of Customers in My Custody Covered if Something Happens?

No. Commercial property insurance has a care, control, and custody exclusion. Therefore, this policy won’t help recover the value of the carpets that you’re about to patch and return to customers in case fire, theft, vandalism, and other exposures happen. 


Business Owners Policy (BOP) for Carpet Shops

CoverWallet NEXT (Best) Thimble  Hiscox The Hartford
General liability aggregate limit  $2,000,000 $1,000,000/$2,000,000 $1,000,000/$2,000,000 $300,000/$2,000,000 $1,000,000/$2,000,000
Commercial property coverage limit  $50,000 $260,000 $25,000/$500,000 $25,000 $50,000
Optional policies can be added? Yes Yes Yes Yes Yes
Name additional insureds for free? Yes Yes Yes Yes Yes
BOP discount? Yes Yes Yes Yes Yes


Liability and property insurance for small businesses can be unnecessarily complicated, which is why many insurance companies offer business owners policies (BOPs). These policies combine all needed business insurance into one convenient package that’s offered at a discounted price. BOPs make insurance easier for small, mom-and-pop carpet companies that don’t need the hassle of multiple policies and unclear coverage. Use the table above to see which insurance company offers the best business owner’s policy for carpet shops. 


Tools and Equipment Insurance for Carpet Shops

NEXT  Thimble Hiscox
Aggregate limit $3,000/$10,000 $2,500/$5,000 $15,000/$25,000
Covers hired and borrowed equipment? $3,000/$10,000 $2,500/$5,000 No
Miscellaneous equipment also covered? $5,000/$10,000 No Yes
Offered as an endorsement to general liability insurance? Yes Yes Yes
Deductible $500 $500 $0

Your carpet business needs to use a blower and a cleaning machine to keep carpet displays in pristine condition. Of course, there’s an AC unit you use to control the temperature of your store. Computers are also integral for keeping tabs of sales. 

You can protect these valuables against theft, electrical surge, operator error, impact damage, and other related perils by purchasing tools and equipment insurance. This policy kicks in to cover repair or replacement expenses. Use the table above to see which insurance company offers the best tools and equipment insurance for carpet shops. 


Workers Compensation Insurance for Carpet Shops 

You need three or more people to successfully run a carpet business. As an employer, it’s your responsibility to cover costs if employees sustain an injury or illness because of work. You can shift this responsibility to the insurance company by purchasing Workers’ compensation insurance. 

Workers’ compensation insurance covers the cost for emergency care, hospitalization, medication, rehabilitation, retraining, lost wages, and death benefits if an employee suffers from a work-related injury or disease. The failure to get workers comp is punishable by law. 


In What Situations Can Your Carpet Shop Use Workers Compensation Insurance?

Workers’ compensation insurance will help your carpet shop if the following happens:

  • An employee sustains muscle injuries while lifting carpets and other stocks

  • Your employee develops asthma and other illnesses or allergies due to continued exposure to carpets

  • An employee gets shot during a robbery attempt in your carpet shop

  • The employee falls from a height while placing carpets on the topmost part of your shop’s display racks

Commercial Auto Insurance for Carpet Shops 

Your business will need to have a commercial auto policy in its carpet shop insurance package if a leased, owned, or loaned vehicle is used to deliver products or haul supplies. The bullet below shows what this policy can do:

  • Cover the medical treatment of third parties if your carpet shop’s commercial auto causes an accident

  • Cover the repair of your commercial vehicle if its parts sustains damage or gets destroyed due to fire, theft, vandalism, and other covered perils

  • Cover the medical treatment of your commercial vehicle’s driver if he or she gets involved in an accident caused by an uninsured/underinsured driver 

Other Policies to Consider Getting 

It’s okay not to have these policies. However, further investing in them results in more comprehensive protection against perils:

  • Business interruption insurance-Temporary and unexpected suspension of business operations will result in a lot of losses. Allowing you to evade this exposure is business interruption insurance. Business interruption insurance will cover employee wages, utility bills, mortgage, loans, commercial lease, and other operational costs if your carpet shop needs to relocate, renovate, restructure, or wait for an economic crisis to pass

  • Employer’s liability insurance-Employer’s liability insurance will cover the cost for legal defense and court judgments  if an employee sues for negligence following a work-related injury or disease

  • Employee dishonesty insurance-Dishonest employees are common in a carpet business. This is why you need protection against them. Employee dishonesty insurance will cover losses and investigation costs if an employee commits theft, forgery, embezzlement, credit card fraud, social engineering, and other related offenses against your carpet shop 

  • Cyber liability insurance-This protects you from the resulting costs of phishing, malware, ransomware, and other cyber attacks. Specifically, this insurance will pay for professional services, credit and fraud monitoring, legal defense, and public relations 

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Carpet Store Insurance Cost

Cost per Month Cost per Year Deductible
General liability insurance $46 $552 $0-$500
Professional liability insurance $70 $840 $500-$1,000
Commercial property insurance $50 $600 $1,000-$2,000
Business owner’s policy $90 $1,080 $1,500
Commercial auto insurance $60 $720 $500-$1,000
Workers compensation insurance $100 $1,200 $1,000-$2,500
Cyber liability insurance $95 $1,140 $1,000-$2,500


The average carpet store insurance cost is $46 per month or $552 per year for a $1 million general liability policy. Factors that affect the cost of premiums are:

  • Number of employees

  • Business experience

  • Annual revenue

  • Location

  • Claims history

  • Policy limits

  • Deductibles

In connection, here’s another table that shows the cost of a $1 million general liability policy from the best carpet shop insurance companies:

Cost per Month Cost per Year Best for
NEXT $27 $324 Best overall; Fastest general liability insurance for carpet shops
CoverWallet $35 $420 Comparing carpet shop insurance quotes online
The Hartford $37 $444 Workers compensation insurance for carpet shops
Tivly $40 $480 Comparing carpet shop insurance quotes over the phone
Thimble $42 $504 On-demand coverage for carpet shops
Hiscox $44 $528 Carpet shop insurance with automatic renewal


Your business will have unique needs, which is why it is important to include as many details as possible about your business in your insurance application. Too often, vague disclosures have resulted in unpaid claims due to non-covered entities or non-covered hazards. 

Compare Cheap Carpet Shop Insurance Quotes Online

Get all the best quotes from leading providers in a click of a button!

Best Carpet Shop Insurance Companies

Only strive to work with the best insurance company. Don’t quickly jump on catchy advertorials and strikingly cheap rates. Here are some reviews of the best carpet shop insurance companies. Read to know their pros, cons, and cost of a $1 million general liability policy. 


NEXT Carpet Shop Insurance

Pros

  • Best overall

  • Issues an online proof of insurance instantly

  • Fastest general liability insurance for carpet shops 

  • Great customer service and reputation

  • Excellent rates

  • Outstanding value for money

  • Get a 10% discount if you buy two or more policies 

Cons

  • Couldn’t find any 

NEXT offers the quickest general liability coverage of all the companies we looked at. It achieves this feat by creating pre-made insurance plans; namely, basic, premiere, and deluxe. Here are the features of the policies you can avail from NEXT:

  • $1 million-$2 million general liability insurance

  • $1 million professional liability insurance

  • $260,000 commercial property insurance

  • Workers compensation insurance

  • Commercial auto insurance

  • Business owner’s policy

Note that NEXT doesn’t have a carpet shop insurance package. Instead, you get covered through this company’s retail insurance program. Once you’re insured, NEXT creates an online account you can use to view policy limits and get a certificate of insurance. 

Best for: Best overall; Fastest general liability insurance for carpet shops

Average cost: $27 per month

Our rating: 10/10

CoverWallet Carpet Shop Insurance

Pros

  • Compare carpet shop insurance quotes online

  • General liability and professional liability can be added with a waiver of subrogation

  • Cancel your coverage anytime

Cons

  • Not an insurance company but an insurance broker 

CoverWallet is an insurance broker that allows you to compare the carpet shop insurance package of carriers online with a click of a button. You can also purchase a coverage immediately too. Policies you can avail from this company are:

  • $1 million–$2 million general liability insurance

  • $2 million professional liability insurance

  • $50,000 commercial property insurance

  • Workers compensation insurance

  • Commercial auto insurance

  • Business owner’s policy

CoverWallet gives you access to its MyCoverWallet dashboard. You can use this to manage your coverage without contacting the insurance company where your policies came from. 

Best for: Comparing carpet shop insurance quotes online 

Average cost: $35 per month

Our rating: 10/10

The Hartford Carpet Shop Insurance

Pros

  • Employer’s liability coverage can be added as a stand-alone policy to your insurance package

  • Number 2 best company for workers compensation insurance

  • Offers specialized coverage such as political risk insurance

Cons

  • Refers you to Tivly 

The Hartford boasts 200 years of experience in underwriting insurance for homeowners, car owners, and business owners.  It serves more than 1 million businesses and ranks number 2 as the best company for workers compensation insurance based on direct written premiums. Insurance can be bought through The Hartford’s website, its agents, or its partners. Coverage is available for carpet shops. However, The Hartford will refer you to its partner, Tivly. 

Best for: Workers’ compensation insurance for carpet shops

Average cost: $37 per month

Our rating: 10/10


Tivly Carpet Shop Insurance

Pros

  • Compare carpet shop insurance quotes over the phone

  • Responsive customer service

  • A partner of many reputable insurance companies

Cons

  • You  need to call to get a quote

Tivly can connect you to insurance companies that are certain to grant coverage if you’re having trouble looking for an insurer for your carpet business. You need to call a Tivly representative to compare quotes over the phone and start the insurance process. This company is a known partner of NEXT, The Hartford, and Thimble. 

Best for: Comparing carpet shop insurance quotes over the phone

Average cost: $40 per month

Our rating: 10/10


Thimble Carpet Shop Insurance

Pros

  • Issues a quote without a lot of questions

  • Quickly issues an estimate of your rates

  • General liability insurance is available as a short term coverage

Cons

  • You can’t reach customer service by calling 

Many like Thimble because it grants coverage without asking a lot of questions. That said, work with this insurance company if you need on-demand coverage. While it doesn’t have a carpet shop insurance package, Thimble covers carpet cleaners. And so, consider talking with a representative online as there might be a way for you to get covered. Policies you can get from this company are:

  • $1 million-$2 million general liability insurance

  • $1 million-$2 million professional liability insurance

  • Business owner’s policy

  • Workers compensation insurance

Best for: On-demand coverage for carpet shops

Average cost: $42 per month

Our rating: 9/10


Hiscox Carpet Shop Insurance

Pros

  • Easy to customize limits

  • Has insured more than 500,000 small businesses

  • Policy bundle discounts

  • Automatic policy renewal

  • Worldwide coverage

Cons

  • Online quoting might not be available sometimes 

Hiscox insures your business through its retail insurance program and carpet shop insurance program. Policies offered are general liability, business owner’s policy, and cyber liability insurance. 

You can get a quote online. But if the company website is under maintenance, then agents will be the ones to help you get insured. This company is a good option because your policy automatically renews every year. Moreover, you’re allowed to customize limits before purchasing coverage.

Best for: Carpet shop insurance with automatic renewal

Average cost: $44 per month

Our rating: 9/10

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