A Guide to Insurance for Owners of Firearms and Gun Stores

pistol in a screen

A 2019 Gallup survey revealed that personal safety and protection are a top priority for gun owners, with 63% of survey participants citing this as their main reason for purchasing a firearm, over hunting, sports, and other forms of recreational activities. 

The popularity of firearms, whether for protection or recreation, shows in the number of federally licensed firearms dealers in the US: as of 2021, there are approximately 52,799.

Whether you own guns, a gun store, or a shooting range, you need insurance to protect yourself and your property from the unique risks faced by the gun industry. Read on to learn more about the different types of coverage you can get from gun insurance companies..

HO-3 Policy

Firearms are usually covered by a homeowner’s policy,and only rarely do insurers offer a separate policy for them. An insurance carrier may offer gun owners an HO-3 policy, a form of homeowners’ insurance that classifies firearms as covered personal property.

Most insurance providers cover loss due to theft. However, only some provide coverage for bodily injury and property damage that occurs if the gun owner uses their firearm in self-defense. Intentional acts, such as mass shootings and homicide, are not covered. This policy is linked to the standard underwriting guidelines that exclude malicious shooting intentions from the coverage. 

Concealed Carry Insurance 

Another option is the Concealed Carry Insurance that grants special protection for owners who used their guns and injured someone out of self-defense. Access to this insurance is personalized according to the policy and limits of your choosing. Note that while other insurers give immediate funds for legal defense, some companies offer compensation only after successful case proceedings. 

The inclusions are reliant on the policy, which means there are other coverages included, such as bail bonds, income interruption, attorney retainer fees, and firearm replacement. 

Firearms Business Insurance 

Some insurance providers specialize in providing insurance specifically to firearms businesses. These include gun shops, manufacturers, distributors, importers, gunsmiths, and shooting ranges. 

Coverage varies depending on the insurer. At Joseph Chiarello & Co., Inc, we offer commercial general liability (CGL) and property insurance. 

Our CGL policy covers the costs of negligent, non-professional acts. For instance, if a customer gets injured while handling the firearms you sell, their injuries as well as associated damages are covered. 

Meanwhile, commercial property insurance provides protection against financial losses due to natural and man-made disasters such as fire and floods. It may also be customized to add coverage. Your commercial property insurance may burglary and theft. It may also protect against the costs of repair and replacement if the signage or glass at your gun store or facility is damaged.

Firearms business insurance provides owners with peace of mind. It can also function as a selling point they can highlight in their advertising, as being insured shows customers that the company is serious about ensuring safety and security.

Have Your Gun Business Insured by a Trusted Provider

Joseph Chiarello & Co., Inc has more than 35 years of experience in providing tailored insurance products to firearms businesses. You can depend on us to recommend the right solution for you and your company. To learn more, get in touch with us today at 800-526-2199.