So I've been selling on Grailed for about two years now, mostly hyped streetwear and a few grail pieces. My current inventory is probably worth $18-22k at resale. I live in an apartment with roommates and keep everything in my room. It just hit me that if someone broke in or there was a fire, I'd be completely screwed. No renter's insurance, no theft coverage, nothing. Am I being reckless? How do you all handle insuring your inventory without getting killed on premiums? I'm not a registered business, just a guy doing this on the side.
Inventory Risk
My Grailed inventory is expensive, but I have no theft insurance
Honestly? Yeah, a little reckless. But you're not alone. A lot of people in this space don't insure until it's too late. Look into a renter's policy first—sometimes it covers personal property even if you're selling, but the business-use exclusion is where they get you. Read the fine print print.
This. My renter's policy capped off-premises theft at like $1k and explicitly excluded 'property held for sale.' I had to get a separate inland marine policy. Costs me about $600/year for $15k coverage. Not cheap but beats Eating a loss.
lol just don't get robbed
I'd start by checking your renter's policy's 'business property' clause. If you're not incorporated, you might fly under the radar, but if you make a claim and they see regular sales, they can deny. Also—document everything. Photos, serials, receipts. Even if you don't insure, you'll need proof for a claim or tax write-off.
Appreciate the responses. I do have photos of most items but nog receipts for everything—a lot was bought secondhand or from drops years ago. Does that screw me for insurance?
Some companies will accept a sworn inventory list with estimated values. But honestly, if you can't prove ownership, they might fight you. Start a spreadsheet now with photos, purchase dates, and what you paid. It's tedious but worth it.
Inland marine is the way. I use Next Insurance for my resale stuff. $400/year for 10k. No business license needed, just a sole prop. They didn't even ask for receipts upfront, just a general inventory description
Next is decent but check the deductible. Mine was $500 per claim, which is fine for a big theft but not for one item. Also, they might require you to ship with signature confirmation and store in a locked room. Read the conditions.
you guys are making me realize I should probably do something about my $8k of vintage tees sitting in a closet with a busted lock
Also consider a safe or locked cabinet. Insurance might give a discount. And if youre really paranoid, spread inventory across locations. Not always practical but reduces total loss risk.
One more thing: if you're selling on Grailed, your PayPal or bank records can serve as proof of inventory purchases. Insurers sometimes accept that. But it's a hassle. Honestly, for $20k, I'd just get the policy and sleep better.