As a brick-and-mortar business owner , protecting your physical location, assets, and employees is crucial to maintaining your operation. Unlike online businesses, you have the added responsibility of safeguarding your property, equipment , inventory, and customers who walk through your doors. To ensure you're adequately protected, it’s important to have the right types of insurance coverage in place.

In this blog, we’ll explore the key types of coverage every brick-and-mortar business should consider and why they’re essential for your protection. Whether you’re in Tempe , Phoenix , Scottsdale , Tucson , Gilbert , or Chandler , understanding your insurance needs can help you avoid potential losses and minimize the risk to your business.

General liability insurance is one of the most important coverages for any brick-and-mortar business. It protects your company from claims related to bodily injury , property damage , and other third-party risks that could arise during the normal course of business operations.

Bodily Injury: If a customer or vendor is injured on your business premises — whether it’s a slip-and-fall incident or an accident involving your product or service — general liability can cover medical expenses , legal fees, and potential settlements. Property Damage: If your business accidentally damages someone else's property while operating, general liability can help cover the cost of repairs or replacements. Advertising Injury: If your business gets involved in a lawsuit related to advertising (e.g., defamation , false advertising, or infringement), this coverage can protect your company from legal costs.

For brick-and-mortar businesses, property insurance is a must-have. This coverage protects the physical location of your business, including the building, inventory, equipment, and any other assets. Whether you own or lease the property, this insurance will help cover the costs of repairs or replacement in the event of damage caused by:

Fire Theft Vandalism Natural Disasters (such as storms or earthquakes, depending on your location)

If your business is forced to close due to property damage, property insurance can also provide compensation for lost income and help with the cost of temporarily relocating your business.

Business interruption insurance, also known as business income insurance, is designed to help your business recover in case an unforeseen event forces you to temporarily close. This is especially important for brick-and-mortar businesses that rely on foot traffic and regular operations.

Lost Revenue: If your business is temporarily unable to operate due to an insured event (such as a fire or natural disaster), business interruption insurance can cover lost income during the downtime. Extra Expenses: This coverage can also help cover additional costs, such as renting a temporary location or buying equipment while your original property is being repaired.

It’s essential to check with your insurance provider about the specific events and exclusions covered under your business interruption policy.

For any brick-and-mortar business with employees, workers' compensation insurance is legally required in most states. This coverage protects your employees if they are injured or become ill while performing their job duties.

Medical Costs: Workers' comp covers medical expenses related to injuries or illnesses that occur on the job, including hospital bills, prescription medications, and rehabilitation. Lost Wages: In the event that an employee is unable to work due to a work-related injury, workers' compensation helps replace a portion of their lost wages. Legal Protection: If an employee decides to sue your business due to a work-related injury, workers' compensation insurance helps cover legal fees and any settlement or judgment that may arise.

Even if not legally required in your area, it’s still a good idea to have workers’ compensation insurance to protect both your employees and your business from potential liability.

If your brick-and-mortar business uses vehicles to deliver goods, run errands, or transport employees, you’ll need commercial auto insurance. Personal auto insurance policies typically do not cover vehicles used for business purposes, so commercial auto insurance is a must.

Vehicle Damage: This coverage protects your business’s vehicles in case of an accident , theft , or vandalism. Liability: If your vehicle causes damage or injury to another person or their property, commercial auto insurance will cover the liability costs, including legal fees and settlements. Cargo Coverage : For businesses that transport goods, commercial auto insurance can provide protection if the cargo is damaged or lost while being transported.

For brick-and-mortar businesses that sell physical products, product liability insurance is crucial. It protects your business if a product you sell causes injury or damage to a customer or their property.

Defective Products : If a defect in your product leads to customer injuries or damages, this coverage can help with medical expenses, legal fees, and potential settlements. Product Recalls: If you must recall a product due to safety issues, product liability insurance may help cover the costs associated with notifying customers, retrieving products, and replacing them.

Product liability is especially important for manufacturers, wholesalers, and retailers, as a single faulty product could lead to a significant legal and financial burden.

With the rise of digital transactions and online customer data storage, cyber liability insurance has become an essential coverage for businesses. This is especially true if your brick-and-mortar business handles sensitive customer information like credit card details, personal addresses, or health records.

Data Breaches: If your business experiences a data breach or hacking incident, cyber liability insurance can help cover the costs of notifying affected customers, restoring data, and dealing with legal consequences. Business Interruption : Cyber liability can also help with lost revenue if a cyber-attack causes your business operations to stop temporarily.

While cyber liability is often associated with online businesses, any business that uses computers, POS systems, or other digital tools should consider it.

Umbrella insurance provides an extra layer of protection over and above your existing policies. If a liability claim exceeds the limits of your general liability or commercial auto insurance, umbrella coverage kicks in to cover the additional costs.

Additional Protection: Umbrella insurance is particularly useful for businesses that are exposed to higher risks of lawsuits or liability claims. It can offer peace of mind in case of large legal settlements or judgments.

Employment Practices Liability Insurance protects your business from claims made by employees regarding workplace issues. These could include claims of discrimination, wrongful termination, harassment, or retaliation.

Legal Costs: EPLI helps cover the legal costs and settlements associated with employee-related lawsuits. Peace of Mind: For businesses with a large workforce or high employee turnover, EPLI can be a crucial policy to have in place to protect your reputation and finances.

When you’re a brick-and-mortar business owner in Tempe, Phoenix, Scottsdale, Tucson, Gilbert, or Chandler, it’s vital to work with a local insurance agent who understands the specific risks of your region and industry. A local agent can tailor a comprehensive insurance plan that covers all your needs, helping you avoid unnecessary risks and save on premiums.

At Riseson Insurance , we specialize in helping brick-and-mortar businesses protect their physical locations, assets, and employees. Contact us at 602-460-5470 for a personalized consultation and find the best coverage for your business.

General Liability Insurance

Property Insurance

Business Interruption Insurance

Workers’ Compensation Insurance

Commercial Auto Insurance

Product Liability Insurance

Cyber Liability Insurance

Umbrella Insurance

Employment Practices Liability Insurance (EPLI)

Why Work with a Local Insurance Agent?

• Bodily Injury: If a customer or vendor is injured on your business premises — whether it’s a slip-and-fall incident or an accident involving your product or service — general liability can cover medical expenses , legal fees, and potential settlements.
• Property Damage: If your business accidentally damages someone else's property while operating, general liability can help cover the cost of repairs or replacements.
• Advertising Injury: If your business gets involved in a lawsuit related to advertising (e.g., defamation , false advertising, or infringement), this coverage can protect your company from legal costs.

• Fire
• Theft
• Vandalism
• Natural Disasters (such as storms or earthquakes, depending on your location)

• Lost Revenue: If your business is temporarily unable to operate due to an insured event (such as a fire or natural disaster), business interruption insurance can cover lost income during the downtime.
• Extra Expenses: This coverage can also help cover additional costs, such as renting a temporary location or buying equipment while your original property is being repaired.

• Medical Costs: Workers' comp covers medical expenses related to injuries or illnesses that occur on the job, including hospital bills, prescription medications, and rehabilitation.
• Lost Wages: In the event that an employee is unable to work due to a work-related injury, workers' compensation helps replace a portion of their lost wages.
• Legal Protection: If an employee decides to sue your business due to a work-related injury, workers' compensation insurance helps cover legal fees and any settlement or judgment that may arise.

• Vehicle Damage: This coverage protects your business’s vehicles in case of an accident , theft , or vandalism.
• Liability: If your vehicle causes damage or injury to another person or their property, commercial auto insurance will cover the liability costs, including legal fees and settlements.
• Cargo Coverage : For businesses that transport goods, commercial auto insurance can provide protection if the cargo is damaged or lost while being transported.

• Defective Products : If a defect in your product leads to customer injuries or damages, this coverage can help with medical expenses, legal fees, and potential settlements.
• Product Recalls: If you must recall a product due to safety issues, product liability insurance may help cover the costs associated with notifying customers, retrieving products, and replacing them.

• Data Breaches: If your business experiences a data breach or hacking incident, cyber liability insurance can help cover the costs of notifying affected customers, restoring data, and dealing with legal consequences.
• Business Interruption : Cyber liability can also help with lost revenue if a cyber-attack causes your business operations to stop temporarily.

• Additional Protection: Umbrella insurance is particularly useful for businesses that are exposed to higher risks of lawsuits or liability claims. It can offer peace of mind in case of large legal settlements or judgments.

• Legal Costs: EPLI helps cover the legal costs and settlements associated with employee-related lawsuits.
• Peace of Mind: For businesses with a large workforce or high employee turnover, EPLI can be a crucial policy to have in place to protect your reputation and finances.