Shop theft: by a customer and by an employee are two different things
Short answer
Theft by a customer without forced entry and dishonesty by an employee are usually NOT covered by the standard burglary clause and require separate, expressly agreed cover.
Burglary: the classic cover
It covers cases with forced entry — a broken lock, a smashed window, traces of a break-in. Hence the requirements for protection: grilles, alarm, sometimes a monitored system. If the protection is not the one the policy was written on, the dispute starts there.
Theft by a customer during trading hours
Shoplifting without forced entry is rarely covered by standard terms — the shop was open and access was free. That risk is normally managed operationally: product placement, cameras, staff; insurance is secondary.
Employee dishonesty
This is a separate cover with a separate name and usually with requirements for record-keeping and internal control. It also requires documenting the loss — a stocktake and often a report to the authorities. Without those steps the claim is difficult whatever the wording says.
Frequently asked questions
- Is a shortfall found at stocktake covered?
- A discovered shortfall alone is usually not enough — an event must be proven, not a difference in the numbers.
- Do cameras help the claim?
- They help prove the event and support the file with the authorities. Whether they are a policy requirement is stated in the terms.
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