Frequently Asked Questions About
Commercial General Liability Insurance
How much does commercial insurance cost?
Costs can vary widely based on industry and are also determined by zip code and often payroll and/or gross sales. Request a free quote to get an exact number.
What kind of business insurance do I need?
Most business owners need General Liability Insurance at the very least. If you have any non-owner employees, you will need workers compensation insurance too.
What is a Certificate of Insurance?
A Certificate of Insurance is proof of coverage. It lists the type and amount of liability coverage you have and other policy information when a third party requests it.
Is business insurance tax deductible?
Yes. you can deduct the cost of commercial insurance premiums. The IRS considers insurance a cost of doing business as long it benefits the business & serves a business purpose.
Auto Supply Parts Store Insurance Delaware
Auto Supply Parts Store Insurance Delaware. Automobile accessories stores sell a wide range of retail and wholesale auto parts and supplies for repair and replacement. Some automobile accessory stores have machinery operations to repair or rebuild parts such as brake drums or to custom-make old, difficult-to-replace parts.
Other operations may include repair services, facilities to repair your own vehicle, rental of tools and equipment, and tire replacement operations. Used and rebuilt parts may be available as stock. Some specialize in foreign parts. Many stores are part of a franchise, chain, or purchasing group.
Business owners who operate an auto supply parts store might be considering whether or not to purchase an insurance policy. And, if so, which insurer to go through, and which optional or incidental protection to add to their policy coverage. First and foremost, yes you do need to purchase an insurance policy; in addition to this, depending on the value of your supplies/products, where your store/shop is located, and other factors surrounding your business, will help you in determining what is truly required and what level of coverage you need, when the time comes to choose your auto supply parts store insurance Delaware policy.
Auto supply parts store insurance Delaware protects your shop from lawsuits with rates as low as $47/mo. Get a fast quote and your certificate of insurance now.
Why Do You Need A Policy?
This auto supply parts store insurance Delaware policy protects you from the many potential claims your shop faces. As is the case with any line of business, having a insurance policy in place is just smart practice for any business owner to consider. Some of the many reasons to invest in a policy include:
- It protects your shop. Whether storm damage occurs, a window breaks, or inventory is damaged, it is covered.
- You can protect your shop from theft, burglary, and other forms of loss.
- You can choose varying levels of coverage, based upon the inventory, types of products sold, and value of shop supplies.
- As a business, you never truly know what can go wrong. If and when something does, your auto supply parts store insurance policy is going to protect you, and the work you have put into building that business.
An auto supply parts store insurance Delaware policy is basically a security "blanket" for a business owner. It protects you from what can go wrong. All though you hope for the best, you never truly know if something will go wrong. With the right coverage in place, you can fully protect your business, the money you have put in, and the time/effort you have put into building it up.
How Much Coverage Do You Need?
When choosing the coverage and the insurer to go through for your policy, businesses have to weigh several factors. First you must consider what you sell. What are the values of the items and supplies you carry in stock? How much inventory do you keep on hand? Is your shop in a dangerous area (for burglary protection or possible storm/weather threats)? Do you want to protect your shop, the building, and all inventory in warehouses? When choosing an insurer and level of coverage, these are a few of the many factors you must consider to choose the right level of protection as well as the right insurer for your policy needs.
No two shops or businesses are alike, so insurance needs are going to vary. Before purchasing a policy, comparing quotes, comparing insurers, and comparing the options (and additional optional coverage) available, are just a few of the many ways in which you can choose the best policy, insurer, and of course find the sufficient level of coverage you require, for your car parts store.
Why Comparing Insurers Is A Good Idea
So you have narrowed down your insurance option to a few companies. Why should you compare quotes? Some reasons to do so include:
- The savings. When you take the time to compare insurers and coverage, you find the best rates from top insurers.
- Coverage options. You can compare the optional protection, required coverage, and additional policy protections.
- You can find more coverage for less. When you compare prices and coverage, you will find some insurers provide higher levels of protection at lower prices.
In addition to the savings, you can compare the actual insurers. This allows you to choose a reputable insurer for your car parts store insurance policy, and find the highest level of protection for the best rates possible.
All in all, you are in business, and trying to turn a profit. If you continually lose merchandise because of theft, if a major catastrophe strikes forcing you to shut down your shop for some time, or if other issues arise, your car supply store insurance policy is going to protect you. Not only will it help you keep your doors open when accidents do occur, but will also afford you benefits and protection you otherwise wouldn't have.
Delaware Automobile Accessories Store's Risks & Exposures
Premises liability exposure comes from slips and falls due to public access to the premises. All stock should be on shelves that are easily accessible to customers. Aisles must be adequate and free of debris. Floor coverings should be in good condition with no frayed or worn spots on carpet and no cracks or holes in flooring. Steps and uneven floor surfaces should be prominently marked. Sufficient exits must be provided and be well marked, with backup lighting systems in case of power failure. If there is any rental of equipment, it should be inspected and reconditioned before it is rented again. If customers are permitted to service their vehicles on premises, housekeeping and supervision are critical.
Parking lots and sidewalks need to be in good repair with snow and ice removed, and generally level and free of exposure to slips and falls. If the premises are open after dark, there should be adequate lighting and appropriate security for the area.
Personal injury exposure can arise from apprehending and detaining suspected shoplifters. The use of closed-circuit camera systems prevents such incidents from evolving into a "he said, she said" situation. Employees must be trained to deal with such delicate situations properly.
Products liability exposure is normally low unless the store repairs vehicles or assists vehicle owners with their do-it-yourself projects. If the applicant directly imports or reconditions items for resale, the exposure increases to the point of a manufacturer. The completed operations exposure for brake turning or other service work must be considered as a product failure could result in an accident.
Environmental impairment exposure comes from the disposal of batteries, oils and fuels. All disposal must meet EPA standards.
Workers compensation exposures are from lifting that can cause back injury, hernias, sprains and strains and from slips and falls. Brake turning, welding or other repair work must be handled only with appropriate safety equipment, especially eye protection. Employees should be provided with safety equipment, trained on proper handling techniques, and have conveying devices available to assist with heavy lifting. Employees performing maintenance or repair work on customers' vehicles should be properly trained.
Property exposures come from flammables such as lubricants, oils, degreasers, and solvents used in the repair operations. They must be properly stored, separated and controlled. Aerosols and flammable additives contribute to the overall fire potential. Theft may be a concern as the items sold are considered target items. Appropriate security controls must be taken including physical barriers to prevent entrance to the premises after hours and an alarm system that reports directly to a central station or the police department.
Crime exposures are from employee dishonesty and loss of money and securities either from holdup or safe burglary. Background checks should be conducted on all employees handling money. There must be separation of duties between persons handling deposits and disbursements and handling bank statements. Money should be regularly collected from cash drawers and moved away from the collection area, preferably to a safe on premises. Bank drops should be made throughout the day to prevent a buildup of cash on the premises.
Inland marine exposures are from accounts receivable if the store offers credit, computers to transact sales, monitor inventory and perform diagnostic testing, and valuable papers and records due to customers' and vendors' records. Backup copies of all records, including computer records, should be made and stored off premises.
Commercial auto exposure is generally limited to hired and non-owned for employees running errands. Any potential driver should have a valid driver's license and an acceptable MVR. If delivery is a regular part of the operation, any driver hired for that position must have a commercial license and MVR should be checked and monitored. All vehicles must be maintained with documentation kept. If the store repairs customers' vehicles, garagekeepers liability should be considered.
Delaware Economic Data & Commercial Insurance Regulations
For entrepreneurs who are thinking about starting up a business in Delaware, it is important to have an understanding of the state's economic outlook, as well as the regulations and limits regarding commercial insurance. With this information, you can determine if DE is, in fact, a wise location to start your business.
Below, we offer a brief overview of Delaware's economic status and the rules relating to commercial insurance.
Economic Trends For Businesses In The State Of Delaware
Delaware is home to more than 1 million businesses. This includes over half of all of the publicly traded companies in the United States, and 64 percent of the country's Fortune 500 companies. Delaware is such an appealing place for entrepreneurs because the state offers flexible corporate laws and a government that is very friendly to business owners.
The economic outlook of DE has become softer. As such, Delaware has moved down eight spots on the Forbes' Best States for Business list. The costs of operating a business are about 21 percent lower in Delaware than the national average. It is also one of the lowest ranking states in regard to labor costs. With that said, job growth is expected to reach .8 percent by the end of the 2019 calendar year. The unemployment rate is expected to remain lower than the national average, at an estimate 4.7 percent.
The industries that contribute the most to Delaware's economy include:
- Hotel & Hospitality
It is expected that these industries will continue to see growth, but there is a need for more skilled labor in these areas.
DE Commercial Insurance Regulations
The Delaware Department of Insurance regulates the insurance industry in DE. Commercial liability insurance, commonly referred to as general liability insurance, is the most common type of coverage that business owners carry. In the state of Delaware, business owners are not required to carry this type of coverage in order to operate. This state is considered a modified comparative fault state that has a negligence standard of 51 percent. The government does not put any caps on awards that are offered to those who file personal injury lawsuits against businesses in Delaware. As such, it is wise for business owners in this state to invest in commercial liability insurance, even though it isn't required.
Business owners are required to carry workers compensation in Delaware. This includes businesses that employee one or more hourly or salaried W2 employees.
Additional Resources For Retail Insurance
Read valuable small business retail insurance policy information. In a retail business, you need to have the right type of commercial insurance coverage so that your store, employees, and inventory are protected.
- Adult Novelty
- Appliance & Electronics Store
- Art Gallery
- Auto Service Repair
- Auto Supply Parts Store
- Bicycle Shop
- Book Store
- Bridal Shop
- Candy Confectionery Store
- Car Wash
- Carpet Store
- Clothing Store
- Collectibles Memorabilia Store
- Convenience Store
- Cosmetics Store
- Dry Cleaning
- Equipment Rental
- Funeral Home
- Furniture Store
- Gas Station
- Gift Store
- Hardware Store
- Home Improvement Store
- Hotel Motel
- Ice Cream Shop
- Jewelry Store
- Lingerie Store
- Luggage Store
- Music Store
- Office Supply Store
- Paint & Wallpaper Store
- Pet Store
- Pharmacy Liability
- Plumbing Supplies Fixtures Store
- Scrap Metal Dealers
- Sewing Store
- Shoe Store
- Sporting Goods Store
- Stationary Store
- Thrift Store
- Ticket Agency
- Tobacco Store
- Toy Store
- Travel Agency
- Wig Store
Retail stores are susceptible to premises liability claims because of customer traffic, but large department and specialty stores are more susceptible than most.
All retail stores have significant property exposures. The on-hand stock represents a considerable investment, but the amount on hand fluctuates seasonally. For this reason, physical damage insurance on this property must be arranged carefully. When the insured occupies a non-owned building, insurance coverage must be arranged for the insured's interest in extensive improvements and betterments made to the premises.
Crime insurance, in the form of employee theft and money and securities coverage, is also very important.
The businessowners policy was designed with retail exposures and operations in mind. For this reason alone, it should always be the first type of package coverage to consider. However, for those risks not eligible for the business owners policy program, the commercial package policy (CPP) is a practical and convenient way to combine a number of coverages into one policy.
Retail businesses generate income through interaction with customers. This interaction is also how a customer can sustain an injury and then sue the retailer for damages. Hazards, exposures and operations both on premises and off are important and must be covered, but liability the retailer may incur because of the merchandise sold must also be considered and insurance protection arranged.
Inventory or stock is the major property exposure for most retail operations. Because stock values tend to fluctuate or have significant peaks at certain times of the year, value reporting or peak season valuation options should be considered. Business income coverage, including business income from dependent properties coverage, may mean the difference between a retail operation staying in business or being forced into bankruptcy following a loss.
When the insured occupies a non-owned building, insurance coverage must be arranged for the insured’s interest in extensive improvements and betterments made to the premises.
Most retail businesses offer endless opportunities for a variety of criminal activities. For this reason, the coverages needed must be carefully evaluated. Holdup and robbery losses may be the most obvious concerns but employee theft, fraud and counterfeit money losses are also serious issues that cannot be dismissed.
Retail businesses are gaining greater exposure to international issues because of the growth in sales via the internet. As these sales increase, the added exposures faced by these retailers must be evaluated. While their operating horizons are expanding so are their potential loss exposures.
Request a free Auto Supply Parts Store Insurance Delaware quote in Arden, Ardencroft, Ardentown, Bellefonte, Bethany Beach, Bethel, Blades, Bowers, Bridgeville, Camden, Cheswold, Clayton, Dagsboro, Delaware City, Delmar, Dewey Beach, Dover, Ellendale, Elsmere, Farmington, Felton, Fenwick Island, Frankford, Frederica, Georgetown, Greenwood, Harrington, Hartly, Henlopen Acres, Houston, Kenton, Laurel, Leipsic, Lewes, Little Creek, Magnolia, Middletown, Milford, Millsboro, Millville, Milton, New Castle, Newark, Newport, Ocean View, Odessa, Rehoboth Beach, Seaford, Selbyville, Slaughter Beach, Smyrna, South Bethany, Townsend, Viola, Wilmington, Woodside, Wyoming and all other cities in DE - The First State.
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