Buy Bicycle Shop Insurance

Bicycle Shop Insurance Policy Information

Bicycle Shop Insurance. Bicycle shops assemble and sell bicycles without motors. Related items such as clothing, shoes, helmets, safety equipment, novelties, and other biking gear may also be offered to customers.

Some stores will offer rentals, repair services and delivery. Some sponsor competitions, excursions, events, or tours.

The most likely risks a cycling store faces include injuries to a customer taking a test ride on a bicycle, as well as damage to your property or inventory from situations like natural catastrophes, theft or severe weather patterns.

Getting bicycle shop insurance will safeguard your business against these and other risks you face on a daily basis.

Bicycle shop insurance protects your cycling store from lawsuits with rates as low as $37/mo. Get a fast quote and your certificate of insurance now.

Below are some answers to commonly asked bicycle shop insurance questions:

• What Is Bicycle Shop Insurance?
• How Much Does Bicycle Shop Insurance Cost?
• Why Do Bicycle Shops Need Insurance?
• What Type Of Insurance Do Bicycle Shops Need?
• What Does Bicycle Shop Insurance Cover & Pay For?

Bicycle Store's Risks & Exposures

Premises liability exposure comes from slips and falls due to public access to the premises. Bicycles are unstable and can easily overturn when hit. Supervision of customers as they "try out" the bicycles is important to prevent falls. Floor coverings should be in good condition, with no frayed or worn spots on carpet and no cracks or holes in flooring.

Sufficient exits must be provided and be well marked, with backup lighting systems in case of power failure. If equipment is rented, it must be reconditioned before it is rented again. If vendors provide services, the store should require certificates of insurance verifying appropriate limits of liability.

Any exposure to competitions, excursions, tours, or events, particularly sponsorship of events held outside the United States, needs careful evaluation as the shop can incur substantial liability from off-premises operations.

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, especially if there is a "test area" for customers to use. If the business is open after dark, there should be adequate lighting and appropriate security for the area.

Personal injury exposure can come from apprehending and detaining shoplifters. Shoplifting procedures must be fully understood and utilized by all employees.

Products liability exposure is normally high since the shop provides assembly and repair of bicycles. Compliance with all manufacturers' instructions is critical. Direct importing and customizing will increase exposure to that of a manufacturer. Foreign-made items should come from a domestic-based wholesaler.

Workers compensation exposure is from lifting which can cause back injury, hernias, sprains, and strains, and from slips and falls. Employees should be provided with safety equipment, trained on proper handling techniques, and have conveying devices available to assist with heavy lifting. Equipment used in repair operations should be appropriately maintained to prevent injury.

In any retail business, hold-ups can occur. Employees should be trained to respond in a prescribed manner. The assembly, repair and customization may introduce metalworking that will require eye protection. If employees participate in activities such as competitions or excursions off premises, proper training and use of safety equipment is critical to prevent injury.

Property exposures are due to flammables such as lubricants, oils, degreasers, and solvents used in assembly and repair operations. They must be properly stored, separated, and controlled. Theft can be a concern due to the street market and high value of bicycles. These thefts are often from younger criminals who may vandalize the premises during a burglary. Appropriate security measures should be present 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 reconciliations. 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, bailees customers if the store accepts customers' items for repair, computers to transact sales and monitor inventory, exhibitions and goods in transit if the store takes goods to trade shows or other off-premises events, and valuable papers and records for vendors' and customers' records. Backup copies of all records, including computer records, should be made and stored off premises.

Business auto exposure can be high if delivery services are provided. Anyone who uses a vehicle must have a valid license and acceptable MVR. Vehicles should have regular maintenance with records kept. If there is no delivery service, the exposure will be limited to hired and nonownership liability for employees running errands.

What Does Bicycle Shop Insurance Cover & Pay For?

There are several reasons why bicycle shops may face lawsuits, including:

Accidents or injuries: Bicycle shops may be held liable if a customer or third party suffers an accident or injury due to a defective bicycle or bicycle component sold or serviced by the shop. For example, if a customer falls off a bicycle due to a faulty brake system that was installed or serviced by the shop, the shop may be sued for damages.
How insurance can help: General liability insurance can protect bicycle shops by covering the costs of legal defense and settlement or judgment if they are found liable for accidents or injuries caused by defective bicycles or bicycle components.

Negligence: Bicycle shops may be sued for negligence if they fail to provide proper maintenance, repairs, or assembly of bicycles, resulting in injuries or accidents. For example, if a bicycle shop fails to tighten the handlebars properly, leading to a customer crashing and getting injured, the shop may be held liable for negligence.
How insurance can help: Professional liability insurance, also known as errors and omissions (E&O) insurance, can provide coverage for bicycle shops in case of claims arising from negligence or mistakes in providing maintenance, repairs, or assembly services. It can cover legal defense costs, settlements, or judgments.

Product liability: Bicycle shops may face lawsuits related to product liability if they sell bicycles or bicycle components that are defective or unsafe, causing injuries to customers or third parties. For example, if a bicycle shop sells a bicycle with a defective frame that breaks while the customer is riding, resulting in injuries, the shop may be held liable for product liability.
How insurance can help: Product liability insurance can provide coverage for bicycle shops in case of claims related to defective or unsafe products. It can cover legal defense costs, settlements, or judgments.

Property damage: Bicycle shops may be sued for property damage if they cause damage to a customer's property or other third-party property while providing maintenance or repair services. For example, if a bicycle shop accidentally scratches a customer's bicycle while performing repairs, the shop may be held liable for property damage.
How insurance can help: General liability insurance can provide coverage for property damage claims, including the cost of legal defense and settlements or judgments.

Slip and fall accidents: Bicycle shops may face lawsuits if a customer or third party slips and falls on their premises, resulting in injuries. For example, if a customer slips on a wet floor in a bicycle shop and suffers injuries, the shop may be held liable for the slip and fall accident.
How insurance can help: General liability insurance can provide coverage for slip and fall accidents, including legal defense costs, settlements, or judgments.

In each of these examples, insurance can help bicycle shops by providing financial protection against the costs of legal defense, settlements, or judgments. It's essential for bicycle shops to carry appropriate insurance coverage to safeguard their business and assets from potential lawsuits and financial losses. However, it's important to note that insurance policies and coverage may vary, and it's recommended to consult with an insurance professional to understand the specific terms and conditions of the insurance coverage.

Commercial Insurance And Business Industry Classification

• SIC CODE: 5941 Sporting Goods Stores and Bicycle Shops
• NAICS CODE: 451110 Sporting Goods Stores
• Suggested Workers Compensation Code(s): 8010 Store - Hardware

5941: Sporting Goods Stores and Bicycle Shops

Division G: Retail Trade | Major Group 59: Miscellaneous Retail |Industry Group 594: Miscellaneous Shopping Goods Stores

5941 Sporting Goods Stores and Bicycle Shops: Establishments primarily engaged in the retail sale of sporting goods, sporting equipment, and bicycles, bicycle parts, and accessories. Retail establishments primarily engaged in selling motorized bicycles are classified in Industry 5571, and those engaged in the retail sale of athletic footwear are classified in Industry 5661. Establishments primarily engaged in repairing bicycles are classified in Services, Industry 7699, and those renting bicycles are classified in Industry 7999.

• Ammunition-retail
• Backpacking, hiking, and mountaineering equipment-retail
• Bait and tackle shops-retail
• Bicycle and bicycle parts dealer except motorized-retail
• Bowling equipment and supplies-retail
• Camping equipment-retail
• Exercise apparatus-retail
• Firearms-retail
• Fishing equipment-retail
• Golf goods and equipment-retail
• Golf professionals operating -retail stores
• Gymnasium equipment-retail
• Hunters'equipment-retail
• Playground equipment-retail
• Pool and billiards table stores-retail
• Riding goods and equipment-retail
• Saddlery stores-retail
• Skiing equipment-retail
• Skin diving and scuba equipment-retail
• Sporting goods stores-retail
• Tennis goods and equipment-retail

Bicycle Shop Insurance - The Bottom Line

As a bike shop owner, you need to consider all policy options when choosing an insurance provider for your bicycle shop insurance policy.

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
• Antique Dealers
• Appliance & Electronics Store
• Army Navy Surplus Stores
• Art Dealers
• Art Gallery
• Arts & Crafts Supply Stores
• Bicycle Shop
• Boat Dealers
• Book Store
• Bridal Shop
• Candy Confectionery Store
• Carpet Store
• Cell Phone Stores
• Clothing Store
• Collectibles Memorabilia Store
• Consignment Stores
• Convenience Store
• Cosmetics Store
• Costume Stores
• Dry Cleaning
• Embroidery Services
• Equipment Rental
• Fabric Stores
• Fish Markets
• Flea Markets
• Florist
• Funeral Home
• Furniture Store
• Gift Store
• Greeting Card Stores
• Hardware Store
• Harness & Saddle Shops
• Home Improvement Store
• Infant, Baby & Children's Clothing Stores
• Jewelry Store
• Lamp Stores
• Lingerie Store
• Luggage Store
• Meat Market & Butcher Shop
• Men's Clothing Stores
• Music Store
• Newsstand
• Office Supply Store
• Paint & Wallpaper Store
• Pawn Shop
• Pet Store
• Pharmacy Liability
• Plumbing Supplies Fixtures Store
• Poultry Dealers
• Rent To Own Stores
• Scrap Metal Dealers
• Sewing Store
• Shoe Store
• Sporting Goods Store
• Stationary Store
• Thrift Store
• Ticket Agency
• Tire Store
• Tobacco Store
• Toy Store
• Travel Agency
• Trophy Stores
• Tuxedo And Formal Wear Rental Store
• Vape
• Vending Machine Operators
• Wig Store
• Women's Clothing Stores
• Specialty Retail Stores

The retail industry is a vital sector of the economy, providing goods and services to consumers across the globe. It is also a sector that is constantly evolving, with new technologies and trends emerging on a regular basis.

Despite its importance, the retail industry is not without its risks. Retail businesses face a variety of threats, including theft, damage to property, and liability issues. These risks can have significant financial consequences for retail businesses, which is why commercial insurance is so important.

Insurance can provide retailers with protection against financial loss resulting from unforeseen events. For example, if a retail store is damaged by a natural disaster, insurance can help cover the cost of repairs and help the business get back on its feet. Similarly, if a retail employee is injured on the job, insurance can help cover their medical expenses and any lost wages.

In addition to protecting against financial loss, commercial insurance can also help retail businesses protect their reputation. If a retail business is sued or faces other legal challenges, insurance can provide financial support and legal representation. This can help to protect the business's reputation and maintain customer trust.

Overall, insurance is an essential component of a successful retail business. It helps to safeguard against financial loss and protect against potential legal challenges, which can be especially important for smaller businesses that may not have the resources to absorb these types of losses.

By investing in business insurance, retail businesses can ensure that they are well-equipped to handle the many challenges that come with operating in this dynamic industry.

Minimum recommended small business insurance coverage: Business Personal Property, Business Income and Extra Expense, Equipment Breakdown, Employee Dishonesty, Money and Securities, Accounts Receivable, Computers, Valuable Papers and Records, General Liability, Employee Benefits, Umbrella, Hired and Non-owned Auto & Workers Compensation.

Other commercial insurance policies to consider: Building, Earthquake, Flood, Leasehold Interest, Real Property Legal Liability, Computer Fraud, Forgery, Bailees Customers, Goods in Transit, Jewelers Block, Cyber Liability, Employment-related Practices, Business Auto Liability and Physical Damage and Stop Gap Liability.