If you run a gas station, then you can select various coverages and customize your insurance plan to fit your needs. Proper coverage will secure your investments from possible risks that can ruin your business.

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Do You Need Gas Station Insurance?  

Most gas stations also work with convenience stores on their premises. Running a convenience store exposes you to risks like customer injuries, theft, vandalism, and so on. Per the FBI’s 2019 Crime in the United States report, out of the total robberies occurring in America, 3% occurred in gas stations, and 6.6% occurred at convenience stores.

What Does Your Insurance Policy Protect You From?  

• Theft and vandalism
• Fuel tank contamination
• Fire
• Damage to property
• Customer injury on the premises
• Contamination coverage for perishable goods

Popular Policies That Include Gas Station Insurance 

Your business is unique and needs a combination of coverages to tackle all risks. Gas station and convenience store insurance can be presented to you in many forms. Here are a few policies to consider:  

Workers Compensation Insurance 

For example, your employee is operating the counter at your gas station. Suddenly, a thief breaks in and robs your store, injuring your employee in the process. In such a scenario, you would not only shoulder the losses from the theft but will also have to pay for your employee’s treatment as well as their lost wages.

Of course, employees at gas stations and convenience stores are among the most vulnerable to workplace violence and harassment. While working in a gas station, an employee faces the risk of:

• Back and neck injuries
• Thermal burns
• Chemical burns
• Broken bones
• Head wounds
• Concussions and other traumatic brain injuries
• Soft-tissue sprains, strains, bruises, and scrapes

Workers compensation insurance is equally essential coverage that you need for your business. It provides necessary coverages for your employee’s illness, injuries, or even death resulting from any workplace-related mishap.

If your gas station runs outside Texas, then workers compensation policy is not optional. Moreover, failure to provide proper workers compensation coverage to your employees can lead to severe penalties.

General Liability Insurance

To keep your businesses safe from “general” claims involving bodily injuries and damages to property, you need general liability insurance. Third parties may pinpoint your business and premises as legally liable for their losses. In this case, your general liability insurance will cover for you.

For instance, it’s wintertime and while your customer is pumping fuel in their car, they slip on some ice and fracture their leg. In this scenario, general liability insurance covers the customer’s injury.

In 2015, Gloria Cevallos sued a Lake Worth speedway station over the pump’s slippery surface and was awarded $266,854 by the jury.

• Accidents can occur in the workplace at any time, resulting in a customer injury. In such situations, your general liability insurance will help.
• General liability coverage protects you from claims occurring on your business’s physical premises, which include bodily injury, property damage, medical payments, legal defense and judgement, and personal and advertising injury.

Business Interruption Insurance

It is possible that your gas station may have to shut down due to disasters or accidents within the workplace. Your income stream might stop flowing, but the bills won’t stop coming in. Thanks to business interruption insurance, your expenses will still be covered even if your gas station is temporarily shut down.

Commercial Property Insurance

According to the National Fire Protection Association, between 2004-2008 there was an estimated average of 5,020 gas station fires throughout the nation, resulting in $20 million in direct property damage. Gas stations are at risk of chemical and fire hazards that can result in millions of property damage. Moreover, unlike a general store, gas stations require equipment and build-outs that are more appropriate for handling a gas pump. Such equipment is expensive and can cause massive losses in cases of damage.

That is why commercial property insurance is vital for your business as it protects your commercial property from perils such as fire, theft, and natural disaster.

Commercial property insurance provides coverage for commercial properties such as:

• The building that houses your gas station
• All workplace equipment
• Accounting records and essential company documents
• Inventory
• Fences and landscaping
• Signs and satellite dishes

Business Owners Policy

If you are looking for a basic insurance policy as a business owner, then a business owners policy (BOP) is a cost-effective option.

A BOP comprises commercial property insurance, general liability insurance, and business interruption insurance. Therefore, it is a more affordable choice for gas station owners. A BOP generally provides coverage for:

• Equipment breakdowns
• Building and contents
• Business income and extra expense
• Merchandise 

Commercial Auto Insurance

If your business uses company vehicle(s) to run work-related errands, then you are exposing your business to risks like accidents, vandalism, or property damage. However, commercial auto insurance can protect your business from such risks. Furthermore, it is mandatory in all states except New Hampshire and Virginia. Commercial auto insurance covers:

• Bodily injury
• Property damage
• Combined single limit
• Medical Payments
• Uninsured motorist coverage
• Collision coverage

Cyber Liability Insurance

More and more customers are moving away from cash payments due to the convenience that credit and debit cards offer. Card payments equate to the storage of highly sensitive personal data, which may be a liability to you if not handled well. Furthermore, with the personal information that your customers will pass on to your business, you will always face a threat of a data breach lawsuit. It never hurts to be prepared when dealing with your company’s and customers’ digital information. Cyber liability insurance will protect you from any claims arising from:

• Breach of data
• Customer notification expense
• Fraud monitoring costs

You can also add cyber liability policy as an endorsement to your BOP.

Liquor Liability Insurance

Dram shop laws hold businesses liable for serving or selling alcohol to patrons who then cause third-party injury or property damage. Depending on where dram shop laws are operational, liquor liability laws vary from state to state. Additionally, you’ll need liquor liability coverage if your gas station sells or serves alcohol. Liquor liability insurance provides coverages for incidents involving alcohol including:

• Third-party bodily injury
• Third-party property damage
• Legal costs
• Additional claims, such as assault and battery

Commercial Umbrella Insurance

Running a gas station means that you could comparatively be exposed to substantial losses due to fire than other businesses. A gasoline-induced accident can lead to damages and injuries that may prove to be very expensive. However, there may be situations where your standard gas station insurance policy will not cover the total expense.

That’s where a commercial umbrella insurance policy comes in handy.

Commercial umbrella insurance is a form of liability insurance covering your business when your auto liability, general liability, or other coverages are insufficient to pay for damages. It protects your business when the coverage expense exceeds your policy limit. Furthermore, it also helps shield your business from the financial risk of a massive lawsuit.

Is Gas Station Insurance Premium Affordable? 

Your insurance premium depends on various factors, such as:

• Number of employees
• Location
• Services offered

Gas stations and convenience stores need the best care and top-notch protection equally. Get in touch with our independent insurance agent for a custom-tailored quote.