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Home > Blog > PARDON THE INTERRUPTION
MONDAY, JUNE 17, 2013

PARDON THE INTERRUPTION

 

            After a fire or other catastrophe shuts a business down, business owners may have insurance that covers all the property losses, but how will they manage to keep going until their building, inventory, and records are back to full production? The answer comes in the form of “business interruption insurance.”  While standard property policies provide protection from direct losses, business interruption insurance covers consequential losses that result from the disrupting effects of property damage. This is important because the monetary value of an indirect loss can easily exceed the amount of the underlying direct loss. Business interruption insurance pays for lost net income; relocation to a temporary site; and continuing expenses such as advertising, salaries, mortgage, and taxes.   

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NOTE: Although commonly overlooked without guidance from an insurance professional, business interruption insurance may be the most valuable insurance that a business can have.

Posted 3:14 PM

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