Shopkeeper’s insurance policy, also known as merchant cover protects the small and medium shop owners against the risks and damages that can be caused to the shop due to calamities, accidents, theft etc.
A shopkeeper insurance is very beneficial to the small business owner. It gives protection to insured shop’s assets and other risk exposures related to the business activity. It has many advantages like :
1- Coverage of loss due to fire etc.
A shopkeeper’s insurance insures the shop’s products and services from the loss due to fire. It protects the owner from the damaged product liability.
2- Property Protection
Shop insurance covers any mechanical or technical loss or property damage incurred due to natural perils, fire, burglary, house breaking, etc.
3- Liability Coverage
The shop owner is covered from the legal liabilities towards a third party. It also includes worker’s compensation that protects against the third party bodily injuries and property damage.
4-Money Protection
If the sum of insured money is lost in the transit between the shop to bank or vice versa because of robbery, accident etc then the shop owner is protected from the loss that may incur as the money is insured in the policy.
5- Cost-effective plans
Most shopkeeper’s policies are taken by small or medium sized business owners. The insurance policies consider that and have made the plans cost-effective comparatively which then makes it more feasible for the keepers
6- Fidelity
The shopkeeper’s insurance also safeguards the business from the financial loss due to fraudulent activities or dishonest trials by salaried employees.
7-Forgery
If any attempt to forge or alter the cheques, drafts or any negotiable instruments issued by you or in your favor is done, all the losses incurred by the following are also covered in the policy.
8-Glass breaking or neon sign
The glow signs displayed by the shop and the glasses of the shop are all protected against the loss that may occur due to breakage, theft or accidents.
9- Medical expenses benefit
This insurance gives you the medical expenses benefit to the extent of sum insured under this cover for any treatment needed due to any mishap or accident.
10- Tenant’s legal liability
If your shop is rented then you are insured against any legal liability imposed by the owner of the shop to pay for the damage incurred to property by fire, theft or accident.
11- Additional covers
You can take additional covers from earthquake, terrorism, escalation etc based on the risk exposure of your existing shop.
12- Marine Transit of goods
The goods that move from godown to shop are prone to the risk of theft, breakage or accident. The insurance also covers these goods in transits by protecting you from extra financial loss that may incur.
13 – Portable equipments and machinery break down.
The insurance protects you from the expense of laptops etc that may get destroyed or damaged under any unusual circumstances. Theft of the following is also insured. Machinery breakdowns are very common and you’re insured for that risk as well.
There are many advantages of taking a shopkeeper’s insurance. It’s not on sustainable and cost effective but it also gives you a leverage and peace of mind with protection against the loss that may occur to you thereby safeguarding your company’s assets and giving you many coverages under customization. It also insures your employees saving you from any inferior liability.
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