Industries
Retail & Service Business Insurance
Property, liability and workers' compensation for shops, salons, cleaners, repair businesses and studios, with options for customers' property in your care.
- Retail shops and boutiques
- Convenience stores and delis
- Hair salons, barbershops and nail salons
- Dry cleaners and laundromats
- Phone, electronics and appliance repair shops
- Tailoring, shoe, watch and jewelry repair
- Fitness studios and gyms
- Pet groomers
- Florists and gift shops
- Other retail and Main Street service businesses
Retail and service businesses deal with the public all day. A customer trips, merchandise walks out the door, a client's coat goes missing at the cleaner or a card reader gets compromised, and each of those can fall under a different policy.
We help shops, salons, cleaners, repair businesses, fitness studios, and other Main Street businesses across the U.S. We start with what you sell or do, the people you serve, and the property you need to protect. A business owners policy may be a useful starting point, with additional coverage for the services you provide and the items customers leave with you.
Common gaps involve customers' property, claims from services such as hair, nail or fitness instruction, employee theft and card data. They're worth reviewing before something happens.
Common risks
Customer injuries
Slips, trips and falls inside the store or on the sidewalk are a frequent source of claims for public-facing businesses. Your lease may also make you responsible for sidewalks, entrances and snow removal.
Theft and crime
Shoplifting, burglary, robbery and employee theft are each treated differently. Property policies often limit theft of money and exclude employee dishonesty (theft by your own staff). If you handle cash or staff can access money or stock, ask about crime coverage.
Property damage
Fire, a burst pipe, water from a neighboring tenant or storm damage can close a store and destroy inventory. Business income coverage can help replace lost income while you're closed, and flood is usually excluded unless you add it separately.
Customers' property in your care
Cleaners, tailors, repair shops and similar businesses hold customers' property. A standard property policy often limits property of others, and ordinary tools or transit coverage doesn't automatically protect it. Bailee coverage can pay for customers' items whether or not you were at fault, depending on the form, while bailee legal liability pays only when you're legally responsible.
Employee injuries
Lifting, cuts, chemical exposure and repetitive motion injuries are common in retail and service work. Workers' compensation requirements vary by state; we'll help you check yours.
Cyber and card data
Taking cards and storing customer information creates breach exposure. A compromised point-of-sale system can lead to notification costs, card brand assessments and downtime that general liability usually doesn't address.
Coverage to consider
Insurance options depend on your business, location, licensing requirements and carrier availability.
- Business Owners Policy (BOP)Packages property, business income and liability for many shops and service businesses.
- General Liability InsuranceCustomer injury and property damage claims, for businesses that need standalone liability.
- Commercial Property InsuranceBuilding, improvements, equipment and inventory, with business income, for businesses outside a BOP.
- Inland Marine & Customer Property CoverageAsk about bailee coverage for customers' clothing, electronics, equipment, and other items left with you for cleaning, repair, or service.
- Professional or service liabilitySalons, fitness instructors, and other service businesses may need coverage for claims involving the services they provide. The appropriate form depends on the activity and the type of claim.
- Workers' Compensation InsuranceEmployee injuries on the job; requirements vary by state.
- Cyber Liability InsuranceCard data breaches, ransomware and customer notification costs.
- Employment Practices Liability Insurance (EPLI)Harassment, discrimination and wrongful termination claims from employees and applicants.
How quoting works
- 01
Start with your business
Tell us what you do, where you work and what you want to protect — or send your current policy.
- 02
Explore your options
We approach insurance companies that consider your type of business and explain the available choices.
- 03
Talk it through
A licensed ALP agent reviews coverage, limits, deductibles and price with you before you decide.
Common contract and certificate requirements
- Landlord or shopping center owner named as additional insured, with limits set by the lease
- Waiver of subrogation (your insurer gives up its right to recover from the landlord), which many retail leases require
- Property insurance on the improvements you've made to the space, as the lease requires
- Franchisor certificate requirements, which often specify limits and endorsement wording
- Certificates naming event, market or pop-up organizers
A certificate is evidence of insurance; the policy and its endorsements provide the coverage. Send us the insurance section of your lease or franchise agreement and we'll compare it with your policy.
Certificate Center →Helpful information for a quote
- Type of business, products or services, and annual sales
- Square footage, construction, year built and recent updates to your space
- Values of inventory, equipment and improvements, plus the most value in customers' items you hold at one time
- Payroll and number of employees
- Security details such as alarms, cameras, safes and cash-handling procedures
- Current policies and loss runs (claims history reports) for the last 3–5 years, if you've been insured before
- The insurance section of your lease
Have what you can — we'll ask for anything else an insurance company needs. Starting a new business? You can begin without prior policies or loss runs.
Upload your current policyFrequently asked questions
Is a business owners policy (BOP) enough for a small shop?
For many small retail and service businesses, a BOP is a useful starting point. Depending on your operation, you may still need endorsements or separate policies for customers' property, the services you provide, cyber or workers' compensation. Crime coverage for employee theft is another topic to ask about.
Does my policy protect customers' items left with us?
Not always. Property policies often limit or exclude property of others, so cleaners, repair shops and similar businesses usually look at bailee coverage. Tell us what you take in, what you do with it and the most value you hold at one time, and we'll review suitable customer-property options rather than assume your current policy includes them.
Does a salon or fitness studio need professional liability?
Often, but the type matters. Claims for chemical burns, allergic reactions or injuries during a class can fall outside general liability, so many salon and fitness programs add service liability by endorsement or use a form built for the occupation. Generic errors and omissions (E&O) coverage usually addresses financial loss and often excludes bodily injury, so it isn't a substitute.
What about employee theft?
Employee dishonesty is typically excluded from property policies, and a cyber policy usually isn't designed for it either. Crime coverage is designed for employee theft, often with conditions about cash controls and prompt reporting, so ask whether it makes sense for your business. Payment fraud, such as paying a fake invoice, may need a separate crime or cyber extension, depending on the policy.
Do I need flood insurance?
Flood is typically excluded from commercial property and BOP policies. If your location is in or near a flood zone or has had water problems, ask us to review flood options.