Jewelry store insurance is intended for retailers that sell, repair, appraise, clean, design, or alter high-value jewelry as part of their operations. The type of coverage your business needs depends on how your shop operates, the value of your inventory, and any off-premise exposures you may have.
We've insured hundreds of jewelry shops in the past 20 years.
Requirements for jewelry store insurance will differ depending on your state. However, some vendor, landlord, or lender contracts may require you to have certain coverages.
Jewelry shops with employees may also be legally required to have workers’ comp.
Third-party bodily injury or third-party property damage caused by your business are typically covered under general liability (GL). GL policies also include limited coverage for personal and advertising injury.
Claim Example:
A customer might slip on rainwater tracked inside your store and get injured. Moreover, he/she might blame your business’s lack of maintenance. Any injuries and their legal defense may be covered under GL.
💡 Is jewelry theft included in general liability insurance?
No, general liability coverage would not normally cover theft of jewelry. Property/crime or jewelers' block would, instead.
To protect shop inventory and sometimes accompanying property such as shop display cases, the owners of a jewelry shop may choose to purchase the 'jeweller's block' type of insurance.
💡 Important to Note:
Before selecting a jewelers block policy, consider whether it covers the property of others, theft among employees, items going missing without a clear cause, and items damaged or lost during shipment.
In addition, your jewelry may also be valued differently by your insurance carrier, depending on your policy. Is it valued under a scheduled limit or a blanket limit? What kind of documentation does your insurer expect? These are questions that you want to ask your agent before purchasing this insurance.
Many business-related exposures can be taken care of by getting general liability, commercial property, and business income coverage bundled as one policy through a Business Owner's policy for jewelry shop owners.
💡 Is jewelry inventory covered at full value under a BOP?
Not always. Many BOPs use exclusions or sublimits for expensive stones or metals. Jewelry shop owners are often recommended to opt for separate protection or add jewelers block coverage for additional protection.
Medical benefits and replacement for lost wages for your employees are generally covered under workers’ compensation. Sometimes employers liability is also included.
Workers' compensation is sometimes mandatory for employers who employ at least one employee. However, exceptions depend on state laws and trade classification.
Claim Example:
Employee slips while stocking the display case and fractures ankle - medical expenses and wage replacement could typically be compensable under workers' compensation, with the usual caveats depending on your policy, state laws, and circumstances.
Does your jewelry store do repairs, appraisals, design, or consulting? Then professional liability insurance, also called errors & omissions (E&O) may be necessary, which differs from general liability.
What it Covers
E&O policies cover claims based on errors, omissions, and negligence in service. This kind of coverage will not generally help in cases of criminal acts.
Claim Example
A client claims financial harm after you mistakenly wrote an inaccurate appraisal. Damages or defense costs may be covered under your E&O policy.
Excess liability and commercial umbrella policies can provide additional limits above liability polices like general liability or commercial auto.
Excess Liability vs Commercial Umbrella
Excess policies don’t provide owners with new coverage; they extend the amount of coverage you already have.
A commercial umbrella policy, on the other hand, sometimes provides broader protection.
Claim Example
A third-party injury claim exceeds your general liability limits. With an excess or umbrella policy, you may be able to get covered for some or all of the additional costs.
As an independent commercial insurance agency, we pride ourselves on offering multiple carriers to provide varied policy options for you to consider.
From BOP policies to jewelry shop-specific coverage options like jewelers block coverage, we’ll help you understand what types of coverage you need to safely operate in your state.
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