Pharmacy stores, commonly referred to as drug stores, have been around for decades. They provide not only prescription medications and over-the-counter drugs, but an array of other items like candy, magazines and books, tobacco, household items, cosmetics, beverages, and snacks. Due to the nature of operating a business such as this, you’re exposed to a variety of risks including theft of money or pharmaceuticals, liabilities such as a customer tripping over something left in an aisle, or a natural disaster that causes substantial property damage. This is what makes insurance for drug store business owners so important. You must protect these and other risks by obtaining the right kind of drug store insurance.
Types of Drug Store Insurance
Your drug store is open to many risks, all of which can be covered fully by choosing the following drug store insurance policies.
One of the most important insurance coverages for drug stores is general liability insurance, which will cover most liabilities you are exposed to when running a drug store, including completed operations, bodily injury of customers, and products liability.
With a drug store, your property and its contents should be protected at all times. Because your drug stores sells flammable items ranging from alcohol to lighters to medications, your facility has a risk of fire or products could be deemed unfit for sale with exposure to heat. In the case of a fire or any other cause of damage, obtain financial protection with property insurance.
If your pharmacy store provides delivery services to customers, you must get business auto insurance for the vehicles used. You have two main choices in business auto insurance; non-ownership and hired insurance. With non-ownership insurance, your employee will have liability coverage while driving their own personal vehicle for business reasons. Hired auto insurance is used for a vehicle not owned by you or your drug store, such as a rental van. In both instances, any damages to a person or vehicle during an accident will be covered, if they are not already covered elsewhere.
Business Owners Policy
Choose a business owner’s policy (BOP) if you want multiple policies in one package. Depending on what risks you feel your drug store is most exposed to, you’ll choose different coverages to be included in the BOP. If you think you have a high chance of a natural disaster occurring that will destroy your property based on where you live, you can include that. Other policies include crime insurance, business interruption, business expense, electronic data, equipment breakdown, and general liability.
Drug stores and pharmacies are at a very high risk for the theft of money and drugs. Protect your business by purchasing crime insurance. If you have an employee that decides to steal money from the cash drawer or drugs a little at a time, you will soon be suffering financially from the loss. If you have crime insurance, this financial burden is lifted.
One business insurance policy you should never skimp on is worker’s comp. Worker’s compensation insurance offers protection for your employees in the event of a work-related injury or illness. If your employee is exposed to cleaning products in the pharmacy that have spilled and gets an allergic reaction, they will need to go to the hospital and possibly have additional medical tests and care done. With worker’s comp, it will be paid for as well as any income lost from missing work.
The last thing you want to do is be in financial ruin because of a risk that could have been protected. Cover all your bases by purchasing appropriate drug store insurance.