Last Updated: February 22, 2024, 9:08 am by TRUiC Team

Ebook Store Insurance

Getting business insurance for your ebook stores is essential.

This is because ebook stores in particular need to be protected against things like copyright infringement allegations, contract disputes, and employee-related claims. 

It is also generally a good idea to purchase business insurance in order to ensure that your office’s commercial equipment is protected in the event that it gets damaged or stolen. 

We’ll help you find the most personalized and affordable coverage for your unique business. 

Compass needle pointing towards blue insurance logo
How to Start an LLC Tip Icon

Recommended: Next Insurance is dedicated to matching small businesses with the right policy at the best price.

Best Insurance for an Ebook Store

General liability insurance is — generally speaking — one of the most important insurance policies for ebook stores. 

Some of the risks general liability insurance covers are:

  • Bodily injury
  • Property damage
  • Medical payments
  • Legal defense and judgment
  • Personal and advertising injury

Having said that, it is important to note that your ebook store might also benefit from purchasing additional coverage. 

This is because a general liability policy will not always be enough to holistically cover from all risks, such as those that relate to:

  • Trademark or copyright infringements: Needs intellectual property insurance
  • Employee payment disputes or bodily injuries: Needs workers’ compensation insurance
  • Equipment damage or theft: Needs commercial property insurance

When you are ready to purchase your business insurance, you will need to find the right business insurer for your business’s needs. 

Even though there are a prolific number of options, we found that most of them can be placed in one of the following two categories: 

  1. Traditional brick-and-mortar insurers: Includes reputable insurers that have been operating for several decades and have sustained a long history of financial success. 
  2. Online insurers: Includes a variety of insurers that use AI in order to offer personalized coverage at a more affordable rate. 

Let's Find the Coverage You Need

The best insurers design exactly the coverage you need at the most affordable price.

Cost of General Liability Insurance

On average, ebook stores in America spend between $350 - $900 per year for $1 million in general liability coverage.

Compare the average cost of general liability insurance for an ebook store to other professional industries using the graph below.

Several factors will determine the price of your policy. These include your:

  • Location
  • Deductible
  • Number of employees
  • Per-occurrence limit
  • General aggregate limit

You may be able to acquire general liability insurance at a discounted rate by purchasing it as part of a business owner’s policy (BOP) rather than as a standalone policy.

A BOP is a more comprehensive solution that includes multiple forms of coverage, such as business interruption and property insurance.

Graph showing average price of general liability insurance prices per industry

How to Start an LLC Tip Icon

Find the Best Rate

Discover the best coverage at the lowest rate in our cheapest business insurance review.

Common Situations That General Liability Insurance May Cover for an Ebook Store

How to Start an LLC Tip Icon

Example 1: One of your main competitors files a libel lawsuit against your business. While you disagree with the claim, you know you need an attorney. General liability insurance would cover your legal defense costs.

How to Start an LLC Tip Icon

Example 2: While you take a potential investor on a tour of your business, she slips, breaks a wrist in the resulting fall, and demands you pay for her medical treatment. General liability insurance would cover her medical care.

How to Start an LLC Tip Icon

Example 3: As an employee shows a friend around the office, the friend trips over a box, breaks an arm, and decides to sue your business. General liability insurance would cover your legal defense costs.

Other Types of Coverage Ebook Stores Need

While general liability is the most important type of insurance to have, there are several other forms of coverage you should be aware of. Below are some of the most common types of coverage:

Product Liability Insurance

While you strive to sell ebooks that entertain and educate your customers, there’s always a chance someone might claim your product caused them harm. In the event of a lawsuit, product liability insurance would cover your legal fees and any required settlement.

Commercial Property Insurance

You made a major investment to establish your business. In the event of a fire, theft, or natural disaster, commercial property insurance would cover the cost of repairing or replacing your business-related property. This includes structural damage to your building as well as the business materials you store there.

Workers’ Compensation Insurance

Most states require businesses to carry workers’ compensation insurance for their part-time and full-time employees. This coverage protects your employees if they become injured at work or fall ill after a work-related accident. It not only covers an employee’s medical bills and lost wages if they need time to recover but also any disability or death benefits stemming from a work-related accident.

Commercial Umbrella Insurance

While your general liability insurance policy covers most claims, some accidents or lawsuits may be so catastrophic that they threaten to exhaust the limits of your primary coverage. Commercial umbrella insurance protects you from paying out-of-pocket for any legal fees and awarded damages that exceed your primary policy.

Additional Steps To Protect Your Business

Although it’s easy (and essential) to invest in business insurance, it shouldn’t be your only defense.

Here are several things you can do to better protect your ebook store:

  • Use legally robust contracts and other business documents. (We offer free templates for some of the most common legal forms.)
  • Set up an LLC or corporation to protect your personal assets. (Visit our step-by-step guides to learn how to form an LLC or corporation in your state.)
  • Stay up to date with business licensing.
  • Maintain your corporate veil.

Ebook Store Insurance FAQ

Yes, absolutely. You will need to first get a quote from an online business insurance provider like Next Insurance. Next allows you to then purchase a policy immediately and your coverage will be active within 48 hours.

A typical business owner’s policy includes general liability, business interruption, and commercial property insurance. However, BOPs are often customizable, so your agent may recommend adding professional liability, commercial auto, or other types of coverage to your package depending on your company’s needs.

"Business insurance" is a generic term used to describe many different types of coverage a business may need. General liability insurance, on the other hand, is a specific type of coverage that business owners need to protect their assets.

Yes. Getting business insurance before you start your ebook store can be a great idea as it will mean that you will be covered as soon as you begin interacting with customers and/or potential partners. 

This can save you tens of thousands of dollars by ensuring that you will not have to deal with a legal claim independently. 

Not necessarily. Certain exceptions may be written directly into your ebook store insurance policy, and some perils may be entirely uninsurable.

Yes, an LLC is meant to create a legal barrier between your business and your personal assets and credit. If you haven’t formed an LLC yet, use our Form an LLC guide to get started.

An LLC doesn’t protect your business assets from lawsuits and liability– that’s where business insurance comes in. Business insurance helps protect your business from liability and risk.