Last Updated: February 22, 2024, 12:01 pm by TRUiC Team

Outdoor Store Insurance

Getting insurance for your outdoor store is essential.

Outdoor stores need to be protected against things like claims of personal injury, contractual breaches, and product liability.

For example, someone could purchase climbing gear at your store, get injured on a climb, and claim that the products you sold them were defective and caused the accident.  

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

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

Best Insurance for an Outdoor Store

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

Some of the risks general liability insurance covers are:

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

You can supplement the protections afforded by general liability insurance with several other policies, including:

  • Commercial property insurance: This covers the cost of any repairs or replacement of your outdoor store’s equipment and inventory (and the store itself).
  • Workers’ compensation insurance: Provides protection for injuries or illnesses suffered by employees while at work. Many states require this type of insurance for companies that have employees.
  • Business interruption insurance: Covers lost income if you have to close your outdoor store for any length of time.

It’s much easier to choose an insurance provider if you understand the two basic categories they fall into:

  • Traditional brick-and-mortar insurers — Refers to firms such as Hiscox and Nationwide, which have physical offices from which they sell insurance policies using agents. 
  • Online insurers — Refers to firms such as Next and Tivly, which are based online and sell policies on their websites using AI. We recommend online insurers for most small businesses because they can get the same great coverage for less money.

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, outdoor stores in America spend between $400 - $1,100 per year for $1 million in general liability coverage.

Compare the average cost of general liability insurance for an outdoor 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

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Find the Best Rate

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

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

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Example 1: A customer injures their head and fractures an arm after slipping on a wet floor in your store. General liability insurance would cover the customer’s medical bills and your legal fees in the event of a lawsuit.

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Example 2: As a customer reaches for a heavy item on a high shelf, several items fall on their head. If the falling products injure the customer, general liability insurance would cover their medical bills.

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Example 3: When an employee posts negative, inaccurate comments about a tent on your store’s social media channels, the tent manufacturer files a defamation lawsuit. General liability insurance would cover your legal fees and any damages awarded in a settlement.

Other Types of Coverage Outdoor 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:

Commercial Property Insurance

You’ve made major investments in your inventory of outdoor equipment and supplies. If you own the building in which you operate, you’re responsible for all business-related property housed there in the event of a fire, burglary, or natural disaster. Commercial property insurance would cover the cost of repairing or replacing your equipment and inventory after an accident so you can recover quickly.

Product Liability Insurance

When you sell products to the public, there’s always a chance a customer may file a lawsuit if they believe one of your products injured them—such as by falling from a mountain bike. Product liability insurance would protect your business by covering your legal fees and any damages awarded in a settlement.

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 benefits stemming from a work-related accident.

Business Interruption Insurance

If a fire, tornado, or other major disaster forces you to temporarily close, business interruption insurance would help cover your bills and financial losses until you can reopen. You can usually purchase business interruption insurance as part of a business owner policy or BOP.

Crime Insurance

While business property insurance normally covers robberies by third parties, crime insurance provides protection against employee theft and other similar risks. You can purchase this coverage as a standalone policy or as part of a business owner policy or BOP.

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 outdoor 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.

Outdoor 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.

As a customer-focused business, business insurance purchased before your outdoor store opens will be essential for its financial health. 

You also need to check your local laws to see if workers’ compensation insurance is required for your employees and/or commercial auto insurance is required for your company vehicles.

Not necessarily. Certain exceptions may be written directly into your outdoor 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.