Important Numbers

Whenever you arrange insurances, you are asked to declare certain numbers and of course it’s absolutely essential that you declare the right number, so that when you need your insurances to work, they do so effectively.

So, here’s an explanation of some of them, in insurance terms!

BUILDINGS – Rebuild cost including, site clearance and architect’s fees NOT market value. A chartered surveyor is the correct professional to make this recommendation.


Replacement cost as new.

STOCK –         Cost price if the goods have not reached you or are in general stock, not sold.

Invoice price if they are on the way to the customer.

TURNOVER – Total invoices for the year.


Turnover less the cost of raw materials and NOTHING else removed.

There are lots of different versions in different industries, and sectors, where variable costs are often removed, but they should not be for insurance purposes.

GROSS REVENUE – Total invoices in businesses with no raw materials or buy in costs.

(Normally office based businesses, architects, accountants, solicitors and the like)

WAGES –        Total cost including all employer’s national insurance, bonuses etc…

So, there you have it. The key numbers you may be asked to declare and what insurers expect you to declare.

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