A formal wear rental shop carries a wide selection of formal wear to be rented, such as dresses, suits, tuxedos, costumes, shoes, and accessories. You need to make sure you provide a varied selection of styles, colors, and sizes. The biggest risks you are accustomed to are issues with the products you rent and damage to your property or formal wear. Protect these and other risks with formal wear rental shop insurance.
Types of Formal Wear Rental Shop Insurance
To fully protect your formal wear rental shop, you need more than one type of insurance policy. Choose from the following:
General liability insurance is crucial for your formal wear rental shop. It includes three areas of coverage: premises liability, product liability and completed operations. Premises liability is for any injuries occurring on your property, such as if a customer cuts their hand on a sharp edge of a display case, where you house accessories like jewelry and tie clips. Product liability is for any products you sell or rent that might cause them damage or injury. Completed operations is for special services you provide that have the potential to cause injury, loss or damage to the customer.
If you use your own vehicle for business errands, like picking up or dropping off items, going to the bank or the post office, you need business auto insurance. It includes coverage for car damage, property damage and bodily injury if you’re in an accident. You may also want theft coverage, because if you’re parked somewhere and leave expensive formal wear inside your vehicle, you’re risking those items being stolen. Business auto will help prevent financial loss.
Another policy you need for your formal wear rental shop is business property insurance. If there is a flood, fire or natural disaster, the damage is not just to your building, but could destroy all of your formal wear and furniture in your store. With business property insurance as a part of your formal wear rental shop insurance portfolio, you replace the ruined items and have a way to make any repairs you need for your building. This helps you get back to business more quickly.
Cyber liability insurance protects your website from cyber crimes, such viruses,hackers stealing confidential information, and identity theft. If you rent formal wear online, you and your visitors are at risk for these types of crimes. The best protection you have against them is with a cyber liability insurance policy. So if a hacker steals a customer’s identity, and the customer sues you, the legal costs are covered by cyber liability.
Employees of your formal wear rental shop are at risk for injuries, such as slips and falls, burning their skin when ironing clothing, or general risks from working in a retail store. Workers’ compensation is the best policy to protect employees from these types of injuries. If an employee falls off a ladder while hanging up a sign outside your store, those medical costs are then covered by workers’ compensation.
Formal Wear Rental Shop Crime Insurance
Crime insurance is an essential policy when you own a formal wear rental shop. The insurance policy covers all types of crimes, including shoplifting, theft, vandalism and employee acts. You are at risk of an employee stealing money, your store being vandalized in the middle of the night, and a customer taking goods right from your store. Crime insurance makes sure you don’t lose this money from your business assets.
Many situations that require insurance can’t be prevented, therefore making insurance that much more important. Things like theft, damage to your property and injuries to employees can be covered with the right types of formal wear rental shop insurance.