If increased cost of working cover is included in a home business policy, what is generally the maximum amount covered?

In a home business policy, including increased cost of working cover is crucial for businesses that may face additional expenses due to unforeseen circumstances affecting their operations. The maximum amount covered is typically £10,000. This amount is designed to reflect the potential additional costs a business might incur to continue operations after a loss, such as renting alternative premises, hiring temporary staff, or other operational expenses that exceed standard business costs.

This limit of £10,000 provides a balance between offering adequate support for a variety of business needs while also managing the insurance provider's risk exposure. The specified limit ensures that the coverage is relevant and practical for many small to medium-sized businesses operating from home, enabling them to recover more quickly without the burden of excessive costs during the recovery phase.