09-09-2016

At Business Compare we provide retail insurance to cover aspects such as public and product liability, stock and contents, and goods in transit. But what are the most common insurance claims made in the retail industry? Read on to find out.

Damage to Property

Sometimes damage to property is unavoidable, whether bad weather causes a leak in the roof or an appliance overheats and causes a fire. These freak acts of nature, machine malfunctions or just simple accidents can have a huge impact and damage a considerable amount of property, therefore it is no surprise that this kind of claim is extremely common in the retail industry - especially with our Great British weather!

Damage to Stock

Similar to the above point, unfortunate circumstances can damage stock, devaluing it and deeming it unsuitable for sale. Whether a storm brings a tree through the front window or a water leak floods the stock room, stock is an asset and without it the lifeblood of a company can be shut off. No wonder so many shops claim for the damage of stock.

Burglary and Theft of Stock

Back in December 2008, famed jewellery store Harry Winston's in Paris was robbed just before closing time. The thieves cleaned the place out of both cash and diamonds, making off with $108 million. The next day, Harry Winston stock fell by 9%, and it took some time for the company to recover.

Most retailers won't hold that kind of amount of assets, however it teaches a valuable lesson that one burglary could cost a company greatly if it isn't insured.

Customer Slips and Falls

Not cleaning up a spillage fast enough or water being trodden in from the street outside are both often to blame for customers tripping, slipping and falling. Many of which then seek compensation for the harm in a court case.

Retailers submitting a claim to compensate an injured customer is common, whether this is court ordered or settled before proceedings.

Harm from Falling Object

The least common on this list, yet still possible, is harm caused to staff or customers by falling objects. Whether this happens when collecting items from elevated racks in the stock room, rails on the shop floor, or even ceiling fixtures falling, very real injury can be caused. Therefore, it is understandable why this retail insurance claim has made our list.

Learn More About Retail Insurance

If you would like to learn more about retail insurance, including what is covered and flexibility of a policy, take a look at our retail insurance page.

Here you'll also be able to compare retail insurance quotes online to ensure that when you take out a cover policy you get the best possible deal. Compare today!