What is bike shop insurance?
Bicycle shops are renowned for the high levels of multitasking required to run them successfully. It’s important to have straightforward, no-hassle bicycle shop coverage so you can focus on serving clients and fixing bikes. Whether you’re in the business of selling new or used goods, making repairs, providing maintenance, or selling replacement parts, you need insurance in case anything bad happens.
With expensive goods on hand and a constant stream of clients, you must take every precaution to keep them safe. We’re familiar with the dangers you confront and will do our best to locate bike shop insurance that fits your specific requirements. Having bike shop insurance is critical for the policyholder’s financial security in the event of an accident.
Bike shop insurance: Overview
There is a legal agreement between the bike shop’s owner and the insurance company known as a bike shop insurance policy that provides financial protection in the event of an accident. All accidental damage that happened while running a bike shop is covered by the policy.
Why do you need bike shop insurance?
Maintaining a thriving bike business is no easy thing. Everything from selling the newest products and accessories to teaching safety and training classes requires your full focus.
Your target audience could range from recreational cyclists who just want to get out into nature to serious athletes who compete in races and other events. No matter how you run your business, insurance is always a good idea. A bike shop insurance will allow you to concentrate on your goals rather than worrying about whether or not your company is adequately protected.
Dangers facing a bike shop
Even if your bike shop doesn’t see a lot of foot traffic, it’s still vulnerable to several threats. There are several potential dangers that could arise, including a customer being hurt while riding the demo bike and damage and harm caused by a natural disaster.
- Customer breaks their wrist when they go back on their bike after having it fixed and try to ride it.
- You fix a bike and give it back to the owner, but three days later, the repair breaks and the owner gets hurt.
- While attempting to change a flat bike tyre, an employee severely cuts their finger and must be sent to the emergency room.
- Your materials and the bikes of customers who brought them in for repairs are destroyed when a tornado causes flooding inside your business.
- Someone on staff has been caught stealing from you.
Given the variety of potential problems that could arise, it’s clear that you’ll want to invest in a comprehensive insurance plan for your bicycle shop.
Required insurance coverages
Commercial Crime Insurance:
Due to the high market value of bicycles, bike stores could be at risk for theft-related losses. There is also the possibility of employee dishonesty if they have access to cash registries or safes. Fraud, theft, burglary, robbery, forgery, and other crimes can result in significant financial losses, but commercial crime insurance can help cover those costs.
Public liability insurance:
With public liability protection, you won’t have to worry about paying for someone else’s medical bills or fixing their broken bike if you injure them or their property in an accident that happened at your bike shop.
Business interruption insurance:
The physical location of a bike shop is crucial to its success. If your store has property damage and you have to temporarily close it, your company’s financial stability could be jeopardised. Closing at a peak shopping period, such as the holiday season, can be disastrous for business.
Employers liability insurance
You should purchase employers liability insurance if you have any employees. Injuries, diseases, and accidents that occur on the work may be covered under the policy. Your company’s products lend themselves to risky situations, such as injuries, because they are associated with athletic competition.
Details required for bike shop insurance
Getting coverage for bike shop insurance is a breeze. You’ll need to provide the following information:
- What your bike shop is worth
Inquiries from other insurers will require the following information:
- Models of the bikes you sell
- Style of bikes
If your bike shop has an electric shop, you’ll probably have to say so. Most standard policies include coverage for e-bikes, but there are also specialised policies for electric bikes available.
Bailee’s insurance cover
Your agreement to fix someone else’s bike means that you will have temporary possession of and responsibility for that bike while you work on it in your shop. Whether or not you were responsible for the accident that happened in your shop, you will be held financially accountable for any damage done to the bike while it was in your shop.
Your building insurance will cover the cost of rebuilding your bike shop if a fire destroys it, but it won’t cover the cost of replacing your customers’ bikes. An insurance policy held by the Bailee is the only means of achieving this. A good Bailee’s insurance policy will protect against not only theft and fire but also:
- The destruction caused by water/floods
- Broken windows due to the wind
Zorley Limited trading as quoteradar.co.uk are an Introducer Appointed Representative (IAR) of QuoteSearcher Limited who are authorised and regulated by The Financial Conduct Authority, their Registration Number is 504796 and their permitted business is insurance mediation. This can be checked by visiting the Financial Conduct Authority website. Upon form submission, your details will be passed to a panel of insurance brokers regulated by The Financial Conduct Authority for the purpose of providing you with insurance quotations.