Jewelry Store Business Insurance (2025)

Jewelry store insurance helps protect you and your business when unexpected issues arise. For example, if a customer slips in your store or a theft occurs, your insurance can help cover the costs.

It also protects you from other risks, like property damage, lawsuits, or claims related to employee actions. With the right coverage, your jewelry store can continue operating smoothly, even when the unexpected happens.

Why Do Jewelry Stores Need Insurance?

Jewelers need business insurance to protect against many things, the most important of which is theft. Without the right insurance, a jewelry business can be on the hook for significant losses if someone breaks in and steals their products. No insurance means a jewelry business can go out of business because of those losses.

Then you add the risk of simple liability, like slip and fall accidents for employees and customers alike. General liability insurance can provide protection for a jewelry business against claims of property damage, bodily injury, or even lawsuits.

It also adds credibility. Many clients require proof of insurance before buying or selling to/from a jeweler. Whether you’re an entrepreneur or you have a large jewelry business with multiple locations, having the right insurance helps you operate confidently, knowing you’re covered if something goes wrong.

What Insurance Do Jewelry Stores Need?

Running a jewelry business means protecting significant and valuable inventory against things like damage and loss from theft, Shipping problems, fire, natural disasters, and other potential problems.

Standard commercial property insurance might have limitations on theft coverage, especially for high-value jewelry, which can necessitate additional coverage for jewelers. To protect yourself and your business, here’s a breakdown of the most important insurance policies to consider.

Jewelers Block Insurance

This can help recover finances from damages or theft as a specialized insurance product for the jewelry industry. If there is any damage to your property, like theft or fire, as well as damage during transit, or theft to a customer’s property if it is in your care, or items that are displayed at trade shows, this insurance can help you recover those losses.

Example: A client leaves their engagement ring with you for resizing, during which time it becomes damaged. This insurance policy would cover that damage.

The average cost of jewelers’ block insurance is between 1%-2% of your inventory on average. So, for someone with $50,000 worth of inventory, you might expect to pay around $500 to $1,000 per year.

General Liability Insurance

This is the foundational insurance policy for most small businesses. It protects you from third-party claims of bodily injury, property damage, and personal injury. If someone gets hurt at your store, general liability pays for legal fees, repairs, or medical bills.

Example: A client is accidentally injured when they slip and fall at your store. General liability insurance can cover the cost of any damages and any legal fees if a lawsuit follows.

Workers’ Compensation Insurance

This policy covers your employees if they get injured or become ill as a result of their job. It will cover medical bills, lost wages, rehabilitation, and even death benefits. It’s also required by law in most states if you have employees.

Example: One of your employees is injured during the course of their duties. Workers’ comp pays for their ER visit and covers time off while they recover.

Workers’ compensation insurance is required for jewelers’ businesses with employees in almost every state.

Commercial Auto Insurance

If you or your employees drive for business purposes, personal auto insurance likely won’t cover accidents. Commercial auto fills that gap. It typically provides cover for vehicle damage, injuries, and liability if you’re involved in an accident while driving for work.

Example: One of your employees rear-ends a car while driving to a client’s home in the company van to conduct on-site ring cleaning services. Commercial auto covers the damages and medical costs.

Jewelry businesses pay an average of $171 per month, or $2,054 per year, for commercial auto insurance.

Business Owner’s Policy (BOP)

A BOP bundles general liability and commercial property insurance into one policy, often at a lower cost than buying them separately. It covers property damage to your business location or equipment, along with liability protection.

Example: A fire in your store office damages supplies and business records. A BOP helps you recover both the physical and financial losses.

Commercial Property Insurance

If you own or lease space for your jewelry business, this policy covers the physical building and the contents inside. It specifically covers fire, vandalism, theft, weather damage, and more—anything that could physically impact your business premises or equipment stored there.

Example: A storm causes water damage to your storefront, ruining thousands of dollars’ worth of jewelry. Commercial property insurance helps you recover.

Business Personal Property (BPP) Insurance

BPP is a type of property insurance specifically for movable items like the display cases, tools, computers, and office furniture used in your business. It will cover the repair or replacement of these items if they are damaged or destroyed due to fire, theft, or other covered events.

Example: A fire in your office destroys laptops, cases, and supplies. BPP helps cover the cost to replace those essential business items.

Hired And Non-Owned Auto (HNOA) Insurance

This policy covers liability if you or your employees use personal or rented vehicles for business purposes. If an employee causes an accident while using their personal car for a work errand, HNOA provides liability coverage where personal auto insurance might fall short.

Example: You send an employee to pick up extra office supplies in their own car, and they cause a fender bender. HNOA helps with the liability claim.

Umbrella Insurance

Umbrella coverage provides extra protection beyond the limits of your existing policies, like general liability and commercial auto. Once a claim exceeds the limits of your underlying policy, umbrella insurance kicks in to cover the remaining amount.

Example: You’re sued for $1 million after a client claims the ring cleaners you used caused physical health problems. Your general liability policy caps at $500,000. Umbrella insurance can cover the remaining $500,000.

Cyber Liability Insurance

This covers losses related to cyberattacks, data breaches, and other digital risks, particularly important if you store client info online. It will cover your legal costs, notification expenses, and credit monitoring for affected clients.

Example: Your bookkeeping software is hacked, and client addresses and payment details are leaked. Cyber liability helps manage the fallout.

Together, these policies form a comprehensive insurance plan for jewelry businesses. While not every business needs all of them, understanding your risks and matching them with the right coverage ensures your operation stays protected, whether you’re a solo jeweler or manage a growing team.

Cheapest Jewelry Store Workers’ Compensation Insurance

The cheapest provider for Workers’ Compensation insurance is biBERK, with an average annual cost of $832.

Note: These estimates are based on a jewelry business with one full-time employee in a low-risk state. Actual premiums for Workers’ Comp are highly dependent on your state, total payroll, and your company’s claims history.

Cheapest Jewelry Store General Liability Insurance

The cheapest option for General Liability insurance is offered by Hiscox, with policies starting at $361 per year.

Note: These estimates are based on quotes for a small jewelry retail business with low foot traffic and $250,000 in annual revenue. Actual premiums will vary based on your location, business size, and specific liability risks.

Cheapest Jewelry Store Business Owner’s Policy

The cheapest option for a Business Owner’s Policy (BOP) is The Hartford, with average annual premiums around $931.

Note: These estimates reflect a BOP for a small jewelry store, bundling General Liability with Commercial Property. This estimate assumes a standard inventory value; policies for high-value inventory (which often require a specialized Jeweler’s Block policy) will be significantly higher. Actual premiums will vary.

How Much Does Jeweler Business Insurance Cost?

Jewelry store business insurance typically costs between $700 and 2,500 annually, depending on many factors, particularly your location. Areas with higher rates of crime will automatically result in higher premiums because of the higher risk, though there are measures you can implement to try and reduce these costs.

The type of coverage, as well, plays a big role, like jewelers’ block insurance compared to the cost of general liability insurance. Your coverage limits generally result in higher premiums, so if you have $50,000 worth of inventory, you will pay a smaller premium compared to a jewelry business with $500,000 worth of inventory.

Several factors influence the cost of business insurance coverage, including your business location, the number of employees, the types of services you offer, the records you keep, your claims history, and whether you transport expensive inventory.

Insurers also consider the amount of coverage you choose and whether you package policies together. While it may be tempting to go with the cheapest option, it’s important to choose a plan that truly protects your business from its most likely risks.

Note: These estimates are based on industry averages for a small jewelry business in the United States. Actual premiums will vary significantly based on factors such as your specific location, the total value of your inventory, store security measures, business size, payroll, and claims history.

How Is Your Jeweler Business Insurance Cost Calculated?

Insurance underwriters calculate your jeweler business insurance premium based on several key risk factors unique to your business. As mentioned, one of the biggest considerations for an insurance underwriter is your location. If you are opening a jewelry store in an area with a lot of crime, particularly theft, you will pay more compared to a jewelry store in a low crime area with strong security measures in place.

Underwriters also look at your claims history—if you’ve filed previous insurance claims, you could be seen as a higher risk. The value of your inventory, whether you own or lease business vehicles, and the type and amount of coverage you choose all factor into the cost as well. Even your business structure (LLC vs. sole proprietor) can affect how your policy is priced.

Following these steps helps ensure you’re properly insured and set up to handle risks confidently and professionally.