Ontario · Commercial Lines · For Shop Owners

Your store. Your policy.
Your blind spots.

Whether you run a jewelry shop on Gerrard, a restaurant in Brampton, or a sweet shop in Mississauga — most off-the-shelf commercial policies in Ontario have gaps owners only discover after the loss.

Published
May 2026
Read time
7 min
01

The policy you signed isn't the policy you needed

Most independent retailers in Ontario buy commercial insurance once, accept a renewal every year for a decade, and never re-examine the form. Then a flood, a robbery, or a slip-and-fall hits — and the gaps surface.

This isn't a knock on owners. Running a business is full-time work. Reading a 60-page policy wording document isn't on anyone's list. But every shop I review has at least two of the gaps below — and most have more.

If you operate a storefront in Ontario, take 10 minutes with this article before your next renewal. The five conversations below have saved clients tens of thousands at claim time.

02

Your contents limit hasn't kept up

Inventory values, equipment costs, and rebuild costs are all 30%+ higher than they were five years ago. Most commercial policies were sized when those numbers were different.

A jewelry shop with $400K of inventory insured at $250K won't have the difference covered after a break-in. A restaurant with $180K of kitchen equipment insured at $120K won't be able to reopen after a fire. A sweet shop that triples in revenue but never updates its business-interruption limit will get a fraction of what it actually loses.

Action item: open your declaration page. Check your Building, Contents/Stock, and Business Income limits. If those numbers haven't been updated in 24+ months, they're almost certainly low.

03

High-value categories need specialty schedules

If you carry jewelry, electronics, watches, or anything portable and pricey, a standard "contents" limit isn't enough. You need scheduled coverage with specific carrier appetite.

Most general commercial markets cap jewelry coverage at $25K–$50K total — far below what most jewelry shops carry on the floor. Specialty markets exist that will write proper schedules with appraisals, but you have to know to ask for them, and your current broker has to know which markets to approach.

Same logic applies to restaurants with high-end equipment, retail with bonded inventory, and any storefront with high-value display items. Generalist policies handle generalist risk. Specialty risks need specialty paper.

04

Business interruption: the policy nobody explains

BI is the coverage that pays your rent, your staff, and your lost profits while you're closed. It is also the policy most owners are dramatically underinsured on.

Most owners think of BI as a small add-on. It should be the largest line on your policy after your liability and your contents. Ask yourself:

  • If you couldn't open for 90 days, what would your rent, payroll, and fixed costs total?
  • What waiting period (the deductible-in-days) does your current policy have? 48 hours? 72?
  • Does your BI cover loss from a nearby fire that closes the building — not just one that hits you directly?

The answers usually surprise people. A 20-minute BI review is the single highest-leverage commercial conversation we can have.

05

Slip-and-fall is still the most common claim

For restaurants, sweet shops, and any retailer with customer foot traffic, the most likely claim against your business isn't theft or fire — it's someone falling and suing.

Three things to check on your liability section:

  • Minimum $2M general liability — anything under $2M is too thin in 2026. $5M is the new floor for any restaurant or food service operation.
  • Product liability included, not excluded — critical for restaurants, sweet shops, bakeries, anywhere selling food
  • Tenant's legal liability — if you lease your space, you need this for damage you cause to the landlord's property
06

Cyber: not optional for any business taking payments

If you take card payments, store customer information, or run a POS system, you have cyber exposure. Most small-business policies still treat cyber as an afterthought.

Stand-alone or endorsed cyber coverage for a small shop typically runs $400–$1,200 a year and covers breach notification, regulatory fines, ransomware, and business interruption from a cyber event. A breach without that coverage typically runs $20K–$100K+ in costs before you address the lost business.

If your current policy doesn't list "cyber" as a coverage section, you don't have it. Ask.

Want a second opinion on your coverage?

It's free, it's not a sales pitch, and the worst case is you find out you're already in great shape. The best case is a five-figure correction before something goes wrong.

Get a full quote → Run the 2-minute coverage check →

Amit Sharda · RIBO-licensed Ontario broker · 647-971-3240 · amitsharda400@gmail.com