There are many risks when running a retail business. Accidents happen, and even careful planning can be undermined by unforeseen events. That’s where business insurance can help—providing peace of mind and protection to retailers when they need it the most.

Here are three real-life claim scenarios from retailers and how business insurance helped get them back to work.


Stolen goods

Theft is an unfortunate reality for retailers, costing Australian businesses up to $9 billion each year. This was the case for one unlucky service station owner, when two thieves broke in through the front door and stole cigarettes and $3,800 in cash.

A claim was lodged under their Theft and Money insurance. Once the claim was verified, the service station owner was paid just over $13,000 as per the following:

  • $10,000 (up to the set policy limit) for the stolen cigarettes, which were specifically listed under the insured’s Theft cover; and
  • $3,068 for the stolen cash, which was covered under the Money section of the policy.

Theft insurance* can cover your contents, stock or specified items from theft, attempted theft or armed hold up. It is not uncommon for theft insurance to require the item stolen to have been securely stored before the theft and for there to be evidence of forcible entry in the commission of the theft.

Money cover* is an additional coverage available to protect your business’ cash. It is designed to protects your business money from loss or damage whilst on your premises or in transit.


Storm Damage

Australian retailers are well aware of how extreme and unpredictable weather can impact operations. The 2019-2020 bushfires affected around 26% of small businesses, with many still feeling the impacts for months afterwards.

Though bushfires are a serious concern for many retailers, more everyday weather conditions can also have a devastating effect. One retailer experienced this after a severe storm, which caused leaking through a store window creating water damage. Further damage was caused to the contents within in the store, ruining shoe boxes, clothes, accessories and mannequins that were on display.

After assessing the store’s damage, the insurer settled the claim for $11,650 (excluding the GST) for the loss of contents under the owner’s Contents Insurance policy.

Contents Insurance* covers your business contents or stock if they were damaged in a fire, storm or due to malicious damage or some other defined event listed in the policy. This is an important form of cover for retailers, protecting your stock against damage so you can keep your business running.


Equipment failure

For retail businesses that rely on having reliable equipment and machinery, a breakdown or failure can greatly impact day-to-day operations. Covering these assets with an insurance policy can help you fund repairs and replacements, and possibly avoid needing to temporarily close shop.

In one case, a pizza shop owner discovered that their 2-door freezer was running hot and tripping the store’s power supply. It was found that the compressor had burnt out, requiring a replacement.

The pizza shop owner’s Machinery Breakdown insurance covered the cost of repairing the freezer. It also compensated them for the loss of stock, which came to $1,799 (net of the excess paid).

Machinery Breakdown insurance* covers the cost to repair or replace specified machinery following a breakdown.  You can also choose to insure the additional costs to your business or business interruption expenses caused by a breakdown of machinery.



If you’re looking for new or additional business insurance cover for your retail business, visit BizCover to start comparing policies. NRA members also get up to 15% off on Business Insurance Packs and Public Liability insurance through BizCover. Members can redeem the discount using the promotional code found in our member portal. 

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*As with any insurance, cover will be subject to the terms, conditions and exclusions contained in the policy wording. The information contained on this web page is general only and should not be relied upon as advice.