Operating a quality dry cleaning franchise can generate significant revenue, but unfortunately, you also must constantly worry about having adequate dry cleaning insurance for a number of exposures, particularly those related to environmental hazards and concerns. The fact is, operators who follow proper protocol and run safe stores can greatly reduce their risks when it comes to fines, or lawsuits pertaining to lost or damaged items, and even injuries to customers.
Liability is a huge concern due to the amount of personal property you deal with on a daily basis. For example, if you ruin an expensive suit or dress due to improper application of chemicals, without coverage, the amount needed to replace that suit will come out of your company’s earnings. Basically, unless you have good liability protection, you’re going to have to pay for any losses or possible legal defense out of pocket. You’re going to need dry cleaning insurance to be able to operate a facility using typical industry chemicals and solvents.
Workers comp coverage is also required
If an employee gets sprayed with chemicals and needs time off from work, as well as medical care, this requires a workers comp policy, something that all employers with a certain number of full-time employees must have.
Or if a chemical that is being used on clothing causes a rash or allergic reaction to a customer then you’ll want to make sure that you have a policy that will be there to cover those costs as well, including any damages incurred.
Then there’s all of your expensive equipment. You have an array of complicated machines, computers, and your storage facilities, which can all be subjected to any number of perils, including weather damage, contamination and spoilage, fire, and even electrical short-circuiting.
Then there’s the matter of environmental insurance. For instance, if you’re ever charged with incorrectly disposing of dry cleaning chemicals, you could be sued by the government or by an affected property owner, and this could even occur years after the incident occurs.
Dry cleaning insurance doesn’t have to be expensive. Simply shop around for a carrier that can give you the necessary amounts of coverage, and any discounts for purchasing multiple policies. Make sure to get the protection that you need.