How to Protect Your Calgary Pharmacy with Insurance

How to Protect Your Calgary Pharmacy with Insurance

November 30, 2023 / 5 mins read

You dispense and monitor prescriptions and sell over-the-counter (OTC) medications. What happens if there are dosage or prescription preparation errors at your Calgary pharmacy or drugstore? Do you have enough insurance to protect you and your pharmacy in the case of a lawsuit?

A pharmacy insurance package protects your Calgary drug store against negligence and bodily injury lawsuits and other claims.

Is your pharmacy in the Calgary Region? No matter your location, your Western business insurance expert will give you top-notch advice and ways to save on insurance for your pharmacy or drug store. We’ll get you customized insurance to protect your pharmacy.

A pharmacy insurance package helps protect you from these 3 claims

1. An employee steals some over-the-counter medication and money from the cash register. Commercial crime insurance typically covers theft of money or property.

2. You accidentally give your customer the wrong dosage of their prescription and he sues you for negligence. Professional liability insurance could cover the medical and legal expenses.

3. A customer slips and falls on a freshly mopped floor, spraining her back and she successfully sues you for bodily injury. Your commercial general liability (CGL) insurance could cover the medical and legal expenses.

Did you know? As a pharmacist you must report the loss or theft of controlled substances or precursors to Health Canada.

How much does a pharmacy insurance package cost?

It depends on factors such as:

  • Your experience, education, and training
  • Location
  • Services you offer

What’s in a pharmacy insurance package?

A pharmacy insurance package has specific coverages to protect your Calgary drugstore.

Professional Liability Insurance

This type of insurance protects you against claims of malpractice and professional misconduct and failure to deliver services as promised.

It’s also called errors & omissions (E&O) insurance or malpractice insurance.

Practising Alberta pharmacists who provide patient care, pharmacy technicians, pharmacy students and interns must have personal professional liability insurance coverage. Minimum coverage of $2,000,000 is required for pharmacists and minimum coverage of $1,000,000 for pharmacy technicians).

Commercial General Liability (CGL) Insurance

What happens if a shopper gets injured at your Calgary pharmacy or her property is damaged? Without commercial general liability insurance, you would be responsible for paying any liability costs out of your own pocket. CGL insurance is also known as “slip-and-fall” insurance.

This type of coverage can also help protect your retail drug store against allegations of false advertising, libel, or slander.

It would not be unusual to have $2 million or more in CGL coverage, depending on the size of your pharmacy.

Commercial Crime Insurance

Crime insurance protects your pharmacy against money or property being stolen by either employees or third parties.

Crime coverage can be included within your property policy, but your pharmacy may need a separate crime due to the nature of its operations.

Talk to your Western business insurance expert to make sure you have the commercial crime coverage that your Calgary pharmacy needs.

Commercial property insurance

Commercial property insurance keeps your retail drug store protected from property losses, such as theft or vandalism. You can also add earthquake insurance, sewer backup or flood coverage extensions to protect your drug store.

Cyber insurance

You keep customer’s medication records and likely take online payments. What happens if your computer system is hacked by cyberthieves?

Without cyber insurance, you will have to pay out of your pocket for the cost of restoring your system. You may also be liable for damages to third parties whose information has been stolen and you may have to pay for notification expenses to inform customers affected by a breach.

Business interruption insurance

If there is an insured loss at your Calgary pharmacy that’s severe enough to prevent it from being open, the expenses associated with getting it up and running again will be covered.

This type of policy usually covers vandalism, fire, wind, flooding, and other risks (make sure to understand what your policy covers). Your policy will help compensate you for lost income and expenses that you will need to continue paying even while you are unable to work.

It can mean the difference between closing and not reopening.

Commercial auto

If your pharmacy makes deliveries, you will need commercial auto coverage as part of your package. Personal car policies will not cover your drivers.

As a Calgary pharmacist or pharmacy owner, here’s an insurance check list:

  • Do you have the best business insurance rate that suits your business?
  • Do you have the right amount for your deductible and regularly review it to make sure it’s the right amount for your pharmacy business?
  • Are you or your employees using personal vehicles for your work?

At Western, we are business insurance experts. We will save you time and money by doing the insurance shopping for you to find the right package at the right value for your drug store.

What do I do if my pharmacy has an insurance claim?

  • Contact your broker immediately after any business-related mishap. Waiting to file a claim can confuse insurers about the severity of the damages to your business.
  • Know your policy so that when you contact your broker you are familiar with what will be covered or not.
  • Document the damage. Take photos right away and write down what happened.
  • Do not throw away damaged goods after taking photos. Keep the physical evidence so that your adjustor can see it.
  • Do not invite lawsuits. Don’t say anything that could be used against you, especially if you aren’t sure what happened.
  • Be honest about what your damaged property is worth. Damaged commercial property is generally valued according to its actual cash value or replacement value.

Western Insurance has licensed BUSINESS INSURANCE EXPERTS to get your Calgary pharmacy or drug store the right insurance package. Our experts are available now to help you navigate the business insurance journey to protect your pharmacy.

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