Consignment Shop Insurance
Coverage built around the way consignment businesses actually work.
A consignment shop sells items on behalf of the original owner, then splits the proceeds once the item sells. That business model creates a few risks that a typical retail store does not face, on top of the everyday risks every store carries.
Why consignment shops have unique needs
- You do not own most of your inventory. If a consigned item is lost, stolen, or damaged, you may owe the consignor for its value.
- Foot traffic and handling. Customers try on clothing, handle furniture, and move through tight aisles every day.
- Specialty or high-value goods. Some consignment shops carry designer clothing, jewelry, antiques, or collectibles that may need extra coverage.
- Seasonal intake events. Consignment sales and pop-up intake days can bring larger crowds through your space at once.
A quick checklist before you request a quote
- General Liability for customer injuries and property damage
- Property coverage for your building, fixtures, and inventory
- A plan for high-value or specialty items you consign
- Coverage that fits items held on consignment, not owned outright
- A certificate of insurance ready for your landlord or mall management
General Liability: the starting point
Just like a straight thrift store, a consignment shop should start with general liability insurance. It responds to customer injuries and property damage claims, and it is usually required by your landlord before you can open your doors.
Adding property coverage
If you own your building, or you want coverage for fixtures, computers, signs, and business personal property, you can add a property package to your quote. This also covers situations where your location is temporarily vacant, such as between leases or during a remodel. See our guide on vacant commercial building insurance for more detail.
What to tell us when you request a quote
Be ready to share your estimated gross receipts, whether you have employees or subcontractors, any prior claims, and whether you sell higher-risk items such as furniture, cribs, or vehicles. The more detail you share, the faster someone can put together options that fit your store.