Business Interruption

Business Interruption is a type of insurance that covers the loss of income that a business could suffer after a disaster.

Business Interruption policies can provide the following types of coverage:

  • Profits. Profits that would have been earned (based on prior months' financial statements).
  • Fixed Costs. Operating expenses and other costs still being incurred by the property (based on historical costs).
  • Temporary Location. Some policies cover the extra expenses for moving to, and operating from, a temporary location.
  • Training Cost. Business Interruption (BI) policy essentially covers the cost of providing training to the operators of the machinery replaced by the insurer following the insured events.
  • Extra Expenses. Reimbursement for reasonable expenses (beyond the fixed costs) that allow the business to continue operation while the property is being repaired.
  • Civil Authority Ingress / Egress. Government-mandated closure of business premises that directly causes loss of revenue. Examples include forced business closures because of government-issued curfews or street closures related to a covered event.

Commercial Services

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