Boost your business coverage for free: The seasonal increase benefit of business insurance

Running a business is challenging at the best of times, and it can be difficult to manage the risks when you’re busy thinking about sales, customers, team members, and all the other decisions you have to make on the day-to-day.

As a business owner myself, I completely understand the overwhelm.

Season stock increase – the risk management asset you don’t have to think about

So here’s a quick tip about business insurance – there’s an insurance benefit called ‘seasonal increase’ and even though it’s pretty awesome, few businesses know about the advantages it can bring.

Watch the video on seasonal increase benefits below:

A seasonal increase benefit is a type of insurance coverage that provides additional protection for your stock during times when you experience a significant increase in demand. 

For example, if you run a hamper business you might find that in the lead-up to Christmas you purchase twice as much stock as you normally would at other times of the year.

Your seasonal increase clause within your insurance policy could cover this extra stock even if your initial insurance policy stipulates you generally have half that amount of stock in your warehouse.

The price of a seasonal stock insurance

The best part about seasonal stock is that you don’t have to pay extra for this coverage – it’s often included for free in standard business insurance policies. The amount of coverage you receive varies, but it can be as much as 50% more than your regular stock coverage.

What should I know about seasonal stock insurance?

However, it’s important to note that seasonal increase coverage only applies during specific periods of time. The dates for this coverage are usually predetermined and listed in your tailored insurance policy. 

This is where you might get stuck. If you’re not sure whether your policy includes seasonal increase coverage or what dates it applies to, it pays to contact your insurance broker to find out.

And don’t stress if you experience seasonal increases during a different period than what’s covered by your insurance policy – fortunately, many insurers are flexible and will work with you to tailor your coverage to your business’s specific needs.

The seasonal increase benefit of business insurance

Are there other industries, aside from retail, where seasonal stock insurance could work?

Seasonal stock insurance can be applicable to a wide range of businesses beyond retail, such as the construction and hospitality industries.

For example, a cafe may experience seasonal increases in stock during tourist season, which could also increase its exposure to risks such as theft, fire, or other types of damage. Having seasonal increase coverage in their tailored insurance policy can help protect them from these risks during their busiest time of the year.

Find the tailored insurance policy that works for you

It’s important to note that not all businesses will experience seasonal increases in the same way. Some businesses may experience fluctuations in demand based on geographic location, while others may experience changes in demand due to events, like cultural days.

Ultimately, the type of coverage that’s right for your business will depend on a variety of factors, including the type of stock you carry, the size of your business, and the risks you face. 

For this reason, it’s essential to work with an insurance broker who can help you tailor your coverage to suit you.

Reach out if you need a hand. After all, it’ll be one less thing you’ll have to worry about as a busy business owner!

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General Advice Warning

This blog post contains general information only. It does not take into account your objective, financial situation or need. Please consider the appropriateness of the information in light of your personal circumstances.

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Jody Williams

Jody Williams

Jody Williams is the perfect broker to select the right insurance on your behalf, saving you time and money. And the best part is – she works for you, not the insurance companies.

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