When the COVID-19 pandemic began, small businesses felt the sting of restrictions put in place to slow the spread of the coronavirus and turned to their customers, urging them to buy gift cards for support.
However, this time of uncertainty carries with it a risk. decided to offer coverage on gift cards up to $250 with its homeowners policies at no additional charge. Erie Vice President Bob Buckel says the idea had widespread support.
鈥淪ometimes it鈥檚 hard to get new things through insurance departments, but this was one because it was tied to the pandemic and helping that the insurance departments were actually very, very in favor of and approved very quickly for us,鈥� Buckel said.
He says the insurance company got around 30 claims in the first month of the coverage.
鈥淲e don鈥檛 see a huge deluge of claims from these, and we鈥檙e not hoping we do because we鈥檙e hoping these small business don鈥檛 have to permanently close,鈥� Buckel said.
He says the coverage will continue to be a part of Erie鈥檚 homeowners insurance policies after the pandemic.
