Department or Discount Stores

What Does GL Code 12356 Cover?

ISO GL class code 12356 applies to department and discount stores, encompassing a wide range of retail operations that sell diverse merchandise to the general public. This code classifies businesses engaged in the sale of clothing, household goods, electronics, and other consumer products, typically operating from large retail premises. It covers the general liability exposures associated with customer foot traffic, product handling, and premises maintenance within these retail environments.

Who Uses This Class Code?

This code is primarily used by large-format retailers such as Target, Walmart, Kohl's, and JCPenney, as well as smaller independent discount retailers. Businesses operating as general merchandise stores, variety stores, or department stores offering a broad selection of goods under one roof would fall under this classification. It also includes businesses that might have a mix of departments, including apparel, home goods, and small appliances.

Common GL Claims for This Class

Common claims include customer slip-and-fall incidents due to wet floors or merchandise obstructions, product liability claims from defective goods sold, and premises liability claims arising from inadequate security leading to theft or assault on store property.

Coverage Tips for Code 12356

• Implement robust floor maintenance and spill response protocols to mitigate slip-and-fall claims, which are frequent in high-traffic retail environments.
• Ensure all products sold meet safety standards and maintain clear records of suppliers to facilitate subrogation in case of product defect claims.
• Invest in adequate security, including surveillance and loss prevention personnel, to reduce theft and associated premises liability risks, especially in Florida where crime rates can impact premiums.
• Review your policy limits and consider increasing them during peak seasons like holidays when customer traffic and potential for incidents significantly increase.