What insurance does a shop or importer in Sint Maarten need?

Key facts

Which policies do retailers and importers in Sint Maarten usually look at?

They usually look at insurance as a whole, because a business that holds stock carries value that moves: it is ordered, shipped, received, stored and sold. Insurance questions can arise at each step. A container may be damaged on the way, a storage area may flood, a customer may be hurt on the premises, or a product that was sold may be blamed for a loss. Terms differ between insurers, so these are points to discuss.

• Premises, fittings and stock: property insurance can address fire, storms and theft for the building, fixtures and stock. Ask how stock is valued, whether the figure changes with the season and what applies to goods kept outside the shop.
• Goods in transit: marine insurance explains how cargo and shipments may be insured, including the point at which cover starts and ends.
• Customers on the premises: general liability insurance is designed to respond to certain claims of injury or property damage to other people.
• Goods you sell or supply: product liability insurance relates to claims that a product caused harm, and importers may want to ask how goods they bring in are treated.
• Staff: workers’ compensation insurance relates to employee injury or illness connected to work, including lifting and handling stock.
• Income lost while closed: business interruption is often an extension to the property policy, with its own waiting period and limit.
• Delivery vehicles: commercial auto insurance applies where vehicles are used for the business.
• Card payments and online sales: cyber liability insurance relates to data breaches, fraud and system downtime.

How is stock insured while it travels to the island?

Goods in transit are usually insured separately from the shop. A marine cargo policy can cover a shipment from a stated point to a stated point, and the terms of sale decide who carries the risk at each stage, so the two need to match. Ask the insurer how cover starts and ends, what packing it expects, and how delay or partial loss is treated. The marine insurance page explains the basics.

What will an insurer ask a retailer or importer?

• What the business sells, and whether any stock is perishable, fragile or of high value.
• The value of stock at its highest and lowest points in the year.
• Where stock is kept, including warehouses, containers and storage off site.
• How goods arrive, from which suppliers and under which terms of sale.
• Security measures, such as alarms, shutters and cameras.
• The number of staff and any seasonal workers.
• Any previous claims or losses.

What should a shop or importer check before the busy season?

Check the stock figure first, because a sum insured set in the quiet season may be too low in the busy one. A short checklist:

• The stock value declared is right for the busiest month.
• Every storage location, including containers and off-site space, is declared.
• You know when cover starts and ends on each shipment.
• Your liability limit suits the number of customers you serve.
• You know the deductible for a named storm.
• You have an up-to-date stock list or inventory records for a claim.
• Alarms, shutters and other protection are as described to the insurer.

Does hurricane season change anything for a shop?

Yes, because stock and fittings are exposed to wind, rain and flood. The Atlantic hurricane season runs from 1 June to 30 November. Property policies may treat wind, flood and storm surge differently, and may apply a separate named-storm deductible. The hurricane insurance page explains these terms.

Is retail and import cover different on the French side?

It can be. Insurers, rules and supervision differ between Sint Maarten and Saint-Martin, and goods often cross the border or arrive through other islands. Where the premises, the stock and the customers are located matters when cover is arranged. The guide on insurance on the Dutch and French sides explains what Enterprise Insurance can and cannot arrange.