How Much Does Convenience Store Insurance Cost? 2025 Rates

U.S. convenience store businesses can expect to pay $840 annually for comprehensive business insurance, averaging $70 per month. The primary cost drivers are location, coverage limits, number of employees, annual revenue, equipment value, and the type of services your store provides (such as fuel sales, food preparation, or lottery ticket sales).

How Much Does Convenience Store Insurance Cost?

On average, convenience store owners in the U.S. pay about $840 per year for business insurance, which comes out to around $70 per month. But this is just an estimate; your actual cost could be higher or lower depending on your specific store and situation.

Every convenience store is different, and so are its risks. For example, a small store with one employee will usually pay less than a large store that sells fuel, has multiple employees, or stays open 24/7. Things like the types of products you sell, the equipment you use, your store’s location, and even how much money your store makes each year can all affect the business insurance cost.

Stores in busy cities or areas with more theft or property damage claims may pay more. Also, if your store offers services like hot food, propane exchange, or check cashing, you may need extra coverage, which can raise your costs. On the other hand, a smaller, lower-risk store may pay less.

Here are some of the biggest cost drivers:

• Number of employees (affects workers’ comp and liability)
• Property size and value (affects commercial property coverage)
• Past claims history (insurers charge more if you’ve filed claims)
• Vehicle usage (affects commercial auto insurance)
• Business interruption coverage and other add-ons

Understanding these variables can help you better estimate your insurance needs and prepare for the real costs of protecting your convenience store insurance.

Average Convenience Store Insurance Costs For Coverage Types

When it comes to protecting your convenience store business, different types of insurance cover different risks. Understanding the average cost, coverage details, and what influences pricing for each policy type can help you build a more effective insurance plan. Here’s a closer look at the major coverages most convenience stores need.

• General liability insurance: $70 per month
• Business owner’s policy: $179 per month
• Workers’ compensation insurance: $79 per month
• Commercial auto insurance: $166 per month
• Commercial umbrella insurance: $56 per month

General Liability Insurance

The average cost of general liability insurance for a convenience store business is about $70 per month.

General liability insurance helps protect your convenience store from accidents that cause injury to other people, damage their property, or involve claims about your advertising. For example, if a customer slips and falls on a wet floor inside your store, general liability insurance can help cover their medical bills and also pay for legal costs if they decide to sue you.

Typical policy limits are $1 million per occurrence and $2 million aggregate.

The cost of this insurance depends on factors like the size of your store, its location, how many customers you serve, your history of past claims, and whether you hire contractors or need to add others to your policy.

Here’s a look at the average annual premiums for 10 different states:

Note: These estimates are based on average annual premiums for convenience store businesses, compiled from both national carriers and regional insurance agencies. They reflect typical coverage limits for small-to-medium stores, considering risks such as customer injury, theft, property damage, and liability tied to food or beverage sales. Actual premiums will vary depending on store size, location, crime rates, number of employees, claims history, and whether additional coverages (like product liability or business interruption insurance) are bundled with General Liability.

Business Owner’s Policy (BOP)

The average cost of a business owner’s policy (BOP) is about $179 per month for a convenience store.

A BOP bundles general liability insurance with commercial property insurance. It protects against customer injuries, property damage, and loss or damage to the business equipment. For example, if a customer trips over a loose floor mat in your store and gets injured, the general liability portion would help pay for their medical bills and legal expenses if they sue. If a fire damages your coolers, shelves, or cash register, the commercial property portion would help cover the cost to repair or replace that equipment. A BOP offers essential protection for both your business operations and physical assets.

Typical policy limits are $1 million per occurrence and $2 million aggregate for liability, with separate property coverage limits based on the value insured.

Cost factors include the property value, location risk (such as flood or crime rates), business revenue, number of employees, and any optional endorsements.

Here’s a look at the average annual premiums for 10 different states:

Note: These estimates reflect average Business Owner’s Policy (BOP) premiums for convenience store businesses, which typically combine general liability and commercial property coverage. Figures account for industry-specific risks such as high customer foot traffic, theft, property damage, and liability exposures from food and beverage sales. Actual premiums will vary depending on store size, location, coverage limits, property value, and claims history.

Workers’ Compensation Insurance

The average cost of workers’ compensation insurance for a convenience store business is around $79 per month.

Workers’ comp covers medical bills, rehabilitation, and lost wages for employees injured on the job. For example, if a store clerk slips on a freshly mopped floor or strains their back while lifting heavy boxes in the stockroom, workers’ comp would help pay for their hospital bills and provide part of their income while they recover.

Policy limits are regulated by each state, but typically include medical costs and a percentage of lost wages without a set cap.

Premiums are influenced by the size of your payroll, the type of work employees perform, your claims history, and any implemented safety programs.

Here’s a look at the average annual premiums for 10 different states:

Note: These estimates are based on average annual Workers’ Compensation premiums for convenience store businesses, incorporating state-specific base rates, employee classifications, and payroll ranges typical of both small independent shops and larger chain-operated stores. Actual premiums will vary depending on your store’s size, claims history, number of employees, and insurer underwriting practices.

Commercial Auto Insurance

The average cost of commercial auto insurance for a convenience store is about $166 per month.

Commercial auto insurance covers vehicles owned or used by the business for accidents, theft, vandalism, or damage. For example, if you use a company van to pick up inventory from a supplier and it gets into an accident on the way, commercial auto insurance would help pay for repairs to the van, medical expenses for anyone injured, and any damage caused to another vehicle or property.

The cost of commercial auto insurance depends on a few key things, like the coverage limits you select, your past claims, how much your work vehicles are worth, and the driving records of anyone who drives them. Safer drivers and fewer claims usually mean lower costs.

Here’s a look at the average annual premiums for 10 different states:

Note: These estimates reflect average annual premiums for convenience store businesses that operate delivery vans, box trucks, or utility vehicles used for stocking, supplier runs, and local distribution. Rates are based on blended averages from both small and large agencies, incorporating regional risk exposure, traffic density, theft potential, and liability coverage levels. Actual premiums will vary depending on store location, fleet size, claims history, and insurer underwriting practices.

Commercial Umbrella Insurance

The average cost of commercial umbrella insurance for a convenience store is $56 per month.

Commercial umbrella insurance provides extra liability protection for your convenience store by extending the limits of your existing policies, such as general liability, commercial auto, or workers’ compensation. It kicks in when the costs of a claim go beyond the limits of your standard coverage.

For example, if a customer is seriously injured in your store and the medical and legal expenses go beyond the limits of your general liability policy, umbrella insurance would help cover the remaining costs. This added protection can help prevent major financial loss from large or unexpected claims.

Here’s a look at the average annual premiums for 10 different states:

Note: These estimates reflect average annual premiums for Commercial Umbrella insurance tailored to convenience store operations, based on aggregated data from both small and large insurance agencies. Figures account for location-specific liability exposures, crime rates, alcohol/tobacco sales, store size, and claims history. Actual premiums will vary depending on your store’s unique profile, coverage limits, and insurer underwriting criteria.

Convenience Store Business Insurance Costs By Provider

Convenience store business insurance costs will vary greatly depending on the insurance carrier. Use the table below to find average costs across different providers.

Note: These estimates are based on average annual premiums for convenience store businesses, considering both small and large agencies. Coverage typically includes general liability, property insurance, workers’ compensation, liquor liability (if applicable), and commercial auto. Actual premiums will vary depending on factors such as store size, location, crime rate in the area, number of employees, annual revenue, and coverage limits.

What Factors Impact Your Convenience Store Insurance Costs?

The cost of convenience store insurance is decided by insurance experts based on how risky your business is. They look at things like the type of services you offer, the equipment you use, where your store is located, how many employees you have, and whether you’ve had any past insurance claims. All these details help them figure out how much you should pay for your insurance.

Type Of Services You Offer

If your convenience store offers basic services like selling snacks and drinks, your risk is lower, so your insurance might cost less. But if you also offer extra services like check cashing, propane refills, or operate 24/7, your risk goes up, which can lead to higher insurance costs.

Number Of Employees

The more workers you have, the higher the chance that someone might get hurt on the job. If you only run the store yourself, your workers’ compensation costs will be lower. But if you have a team, especially working in shifts, the cost of coverage will go up.

Equipment And Tools

If your store uses expensive equipment like commercial refrigerators, freezers, or a security system, your property insurance may cost more. This is because it would be expensive to replace those items if they break or get stolen.

Location Of Your Business

Where your store is located matters. If you’re in a high-traffic area or a neighborhood with more crime or lawsuits, your insurance could cost more. Stores in quiet, low-crime areas usually pay less.

Vehicles Used For Business

If you use a van or truck to pick up supplies or make deliveries, you’ll need commercial auto insurance. The number of vehicles you use, how often you drive them, and your drivers’ records will all affect your premium.

How To Lower Your Convenience Store Insurance Costs

Running a convenience store can be expensive, but your insurance bill doesn’t have to break the bank. While you can’t eliminate the need for coverage, you can take smart steps to reduce your premiums without sacrificing protection. Here are some practical ways to lower your convenience store insurance costs:

1. Bundle Your Policies

One of the easiest ways to save is by bundling multiple policies. Most insurers offer a Business Owner’s Policy (BOP) that combines general liability and property insurance at a lower rate than if you bought them separately. If you also need workers’ compensation, bundling both through the same provider can lead to additional discounts. Not only does this simplify your paperwork, but it also makes your coverage more cost-efficient.

2. Ask About Discounts

Insurance companies often reward businesses that commit to a policy long-term. Ask your provider if they offer multi-year discounts for signing a two- or three-year agreement instead of renewing annually. You might also qualify for lower rates if you pay your premium in full instead of in monthly installments.

3. Implement Safety Measures

Accidents can be very expensive for both your convenience store and your insurance company. Doing simple things to prevent injuries or damage can help you avoid insurance claims and might lower your insurance costs over time. For example, you can put up warning signs if floors are wet or slippery, keep aisles clear of boxes or cords so no one trips, and regularly check that your equipment works well. When insurance companies see you care about safety, they may charge you less for insurance.

4. Create A Safe Working Environment

Having a good safety program can help lower your workers’ compensation insurance costs for your convenience store. This means training your employees to work safely every day. For example, show them how to use equipment properly, keep floors dry and clean to avoid slips, lift heavy items the right way, and wear the right safety gear like gloves and non-slip shoes. It’s also important to teach them what to do in an emergency. When your workers stay safe, your insurance costs can go down.

5. Adjust Your Deductible

Your deductible is the amount you pay out of pocket before insurance coverage kicks in. Choosing a higher deductible can significantly reduce your monthly premiums. Just make sure you can comfortably cover that amount if a claim arises.

By taking these steps, you not only save money but also make your convenience store business a safer, and more resilient business.