Commercial business interruption insurance is a form of coverage that helps supplement income lost due to a temporary suspension of normal business operations. The period of time it takes to recover from a loss, including inventory, merchandise, physical location and more is called the restoration period.
Also known as business income insurance, such policies cover lost income when a business temporarily closes due to a fire, natural disaster, or other covered incident. Commercial business interruption insurance is an add-on to Business Owner’s Policy (BOP) insurance or Property Insurance.
Every commercial business should have commercial business interruption insurance as a part of its insurance planning and risk management strategy. It’s a good idea to discuss potential loss events with your business insurance agent so you can supplement with enhanced coverage as needed.
Commercial business interruption insurance covers the following:
Commercial business interruption insurance does not cover:
The cost of commercial business interruption insurance differs for each policy. You can calculate your gross earnings and projections (income and sales) to estimate future profits and determine the right amount of coverage. Consider what you would be paying for if you had a covered loss.
Things to consider when determining the cost of coverage:
As trusted advisors and dedicated partners, we make it our responsibility to evaluate your full list of carrier options. We have access to national and local insurance carriers and can secure comprehensive coverage programs and competitive rates on your behalf. Our agents are the best in the field and will work with you to find the best coverage for your needs. Contact us today for more information.