When you’re selling potentially expensive goods like wine or jewelry, there’s usually a bit more of a risk involved than when you’re selling  cheap products. As you likely know, risk is the domain of the insurance industry, and we’re going to explore exactly how risk relates to the furniture industry in today’s guide.

We decided to make things a little easier on our readers by going over the things you need to know about furniture insurance. We’ll get started by exploring liability and business policies for furniture sellers before we discuss the typical cost of furniture store insurance. After that, we’ll look at some of the top furniture store insurance companies.

Furniture Liability Insurance

If you run a furniture store and you want to ensure that your business doesn’t get threatened by someone else’s litigation, you may want to opt for general liability insurance. General liability coverage ensures you don’t end paying for claims using your own money or risk losing profits for your business.

It’s possible for a furniture store owner to end up being held liable for a situation that he or she didn’t cause. For example, if someone happens to experience an accident on the premises of your furniture store by sheer carelessness while looking at your display, you can still be held liable and pay for settlement if a lawsuit is filed. 

Liability insurance exists to ensure that you don’t end up in a sticky situation like this one. All liability policies will protect you if you end up being held liable for either bodily injury, like what we just described, or even property damage.

There are different ways that someone can have their property damaged at your furniture store. For example, if someone parks their car in your parking lot, which lacks space. You can be held liable for minor accidents 

Furniture Store Business Insurance

Business insurance for a furniture store is also known as a BOP or a Business Owner Policy. These insurance policies are more versatile than simple liability policies because they contain liability policies along with other kinds of insurance that furniture stores usually decide to purchase.

Since these policies are bundled together with different kinds of insurance coverage, they tend to be more affordable than if availed of thecoverage individually. This is a way for insurance companies to ensure that you stick with them instead of shopping around, even if the competitor has better rates for an individual policy.

BOPs tend to vary based on the insurer that you’re going with, and some of them will offer a wide range of add-ons and base policies within a BOP. However, the majority of these policies come with a liability policy and a commercial property policy, which protects the building that your business is located in.

Keep in mind that there is no set type of liability policy that you can expect your BOP to come with. Some insurance companies will charge slightly more for their BOP and include a general liability policy while others will charge slightly less and package a public liability policy with their BOPs.

Furniture Shop Insurance Cost

Furniture shop insurance doesn’t have a universal cost because so much of the price is dependent on other factors. You’ll want to consider these factors if you’re trying to estimate how much your insurance is going to cost you without having to go through the process of getting quotes from countless companies.

Now, you may be wondering exactly what factors go into determining how much your insurance carrier will charge you for coverage. The first thing to account for is your history running a furniture business. If your business has a history of accidents or making claims, then your premium will be higher.

Another factor is how long you’ve been selling furniture. Insurance companies will be more likely to trust you if you’ve been selling furniture for a longer time. If your business is a new one, carriers may be a little hesitant about giving you a better rate.

However, insurers will also look at the size of your business to figure out how much they should be charging you for coverage. A larger business will have to pay more for their furniture shop insurance because they have more customers coming through their doors and increasing the risk their insurer has to deal with.

Smaller businesses are a little easier for insurance companies to deal with because they don’t have to worry about as many claims coming in. 

The numbers that we gathered in the table up above were collected with a medium-sized furniture store that has no prior history of making claims so that they act as reference values. The average cost of insurance that we’ve gleaned from  these numbers is about $59.60 per month and $716 per year.