Bookshop Insurance
Owning or working in a bookshop can be rewarding but overwhelming at the same time. Several jobs are to be done, from book purchases via working with tills to managing the inventory and guiding customers when they have any queries or concerns. Due to the variety of services a bookshop provides, obtaining insurance is necessary, acting as a risk management strategy to preserve the business should any of those services lead to a claim. Similarly, the building and books inside it must be protected.
If you would like to read more information or learn more about the pricing of business insurance, you can do so here.
Types of Bookshop Insurance
Many types of insurance can come under bookshop insurance.
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Public Liability Insurance
Public liability insurance is a form of cover against claims filed by third parties. The customers that visit a bookshop leave wide open an opportunity for accidental accidents to occur:
- Books may fall on them.
- They may trip or fall over wires.
- Wet floors can make them slip.
- An employee could spill a drink on their clothes.
The repercussions of this may seem slight, but if the customer decides to file a claim, this could be detrimental to businesses of any size. Whilst small businesses do not have the abundant revenue to pay for legal fees or medical expenses for their clients. Larger businesses have more customers. There is a higher risk of more accidents occurring. Consequently, bookstores of any size should consider this cover.
2. Buildings Insurance
Buildings insurance will protect the property and fixtures instead of natural disasters like floods, fires or storms, and artificial causes like vandalism or manufacturing faults. When events like these occur, it is costly to repair the building, and the structures inside it as the materials and services that need to be bought can add up.
Therefore, an insurance policy that covers the cost of all of these expenses can genuinely save a business from failing. The monthly premium can vary based on many things like the size and value of the property and the location, and how close it is to water. Unfortunately, this insurance does not cover the contents inside the building, and additional stock and contents insurance should be considered.
3. Stock and Contents Insurance
Stock and contents insurance is similar to buildings insurance but protects the belongings inside the building instead of the structure. The contents can include devices like computers, bookcases, and furniture, whilst the stock includes merchandise like books, magazines, calendars and stationery. Bigger bookstores with more content and products should apply for a higher insurance policy, as even though this would increase the premium, their stock is of more value and risk.
However, this does not mean that small businesses should not apply for it either, as it would be more detrimental to their business having to replace everything from their revenue.
4. Business Interruption Insurance
Business interruption insurance allows bookshops to continue operating even when there is an unplanned event that would typically disrupt services. In the case of a fire or flood, businesses with no insurance would have to pay for the restoration of the shop and suffer from the loss of generating no revenue.
On the other hand, shops with this type of policy would receive money from the insurance company equal to that of the estimated revenue they would have made were they operating, in addition to covering the salaries of their employees. Due to this, businesses would not suffer monetary loss while reconstructing the premises, so they do not have to worry.
5. Employers’ Liability Insurance
Employers’ liability insurance is a mandatory type of insurance that all businesses must obtain as long as they have workers. Bookshops fall into this category as they hire sellers, assistants, technicians, customer service advisors and many other occupational jobs, and thus their employees need to be protected. This type of insurance covers claims made by employees that they were injured or harmed in the workspace and pays for their medical expenses should they need any and their wages whilst they take time off work necessary to recover. A variety of accidents could occur in a bookstore, from falling downstairs to being injured by merchandise, and so it is imperative to safeguard both employees and owners from this.
To Conclude
In conclusion, bookshop insurance has a range of covers that contribute to the overall peace of mind and safety, knowing that if accidents arise, there will be no financial loss. There are almost 1000 bookshops in the UK, with the book industry worth approximately £6 billion, and all of the precautions necessary should be taken to keep these businesses running.
Read more about what kind of business insurance you need here.
Other useful links about business insurance:
Public Liability Insurance
Retail Insurance
Property Insurance
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