What is Business Income Insurance?
Business Income Insurance is commercial coverage that reimburses a business owner for lost profits and continuing fixed expenses during the time that a business must stay closed because of a covered peril, such as a fire or other insured hazards. You shouldn't assume your current policy includes business interruption coverage. Many business owners don't even think about it until such coverage is needed.
Business Income Insurance can keep capital flowing through your company in the event of such disruptions. It can help you:
- Create a business continuity strategy
- Keep your business afloat if a loss forces you to close for a short time
- Pay for lost net income and continuing expenses such as mortgage, advertising, taxes and salaries
- Pay your relocation and advertising fees if you set up shop
Business Income –
Business Interruption Insurance (BI)
Keep your business afloat with Business Interruption Insurance.
If your business is interrupted, you still have to pay the bills – employees, rent or mortgage, suppliers, taxes and yourself. A force outside your control may cause you to close your doors for a length of time, for such interruptions as:
- Fire
- Roof collapse
- Vandalism
- Equipment damage
Natural disasters such as earthquakes, windstorm, floods, and severe weather can cause a business to close temporarily. But just because your business cannot make deliveries, take orders, or perform its other basic functions does not mean that the business will not have to pay taxes, salaries, and other expenses. Business interruption insurance can help a business avoid disaster at such times.
