Business interruption insurance reimburses you for lost income in case of a disaster. You can find out if your commercial insurance currently has sufficient business interruption coverage by contacting Main Street Independent Insurance Agencies Inc in Ft. Worth, TX. We can review your account and help you beef up your coverage if needed.
What Is Business Interruption Insurance?
This coverage prevents financial loss if you have to close up shop due to a disaster. Examples include a natural disaster or fire. To get business interruption protection, you must already have commercial insurance. When you add on this service, your insurance company prepares the appropriate rider.
What You Need to Know About Business Interruption Policies
This insurance replaces income you lose when business operations cease due to damage or physical loss. The terms and conditions are outlined in your policy and your agent can help you better understand the coverage.
For insured events, your insurance pays for the cost of operating the business, temporary relocation, taxes, loan payments and payroll expenses. Again, every policy is different, so it’s important to know how your coverage works.
Most business interruption insurance won’t cover closures due to an epidemic or pandemic.
How Long Does Business Interruption Insurance Last?
The written policy dictates the terms of coverage, including how long the policy lasts. Standard policies last 30 days but insurers may allow you to extend coverage as far as 360 days. This covers the day the insurance begins and often lasts until the business reopens or through the end of the coverage limit. Some policies have a waiting period to exclude short business interruptions that pass within two to three days.
Contact Main Street Independent Insurance Agencies Inc in Ft. Worth, TX to set up an appointment for a few commercial insurance quote that includes business interruption protection.