Business Interruption

Business Interruption occurs after a loss. An example is a fire on your premises. This would include and not be limited to:

  • The immediate time during the response to the fire alarm - everyone would leave the premises.
  • While the responding fire department is putting out the blaze, it is normal to see the area restricted to fire, police and ambulance personnel only.
  • A fire requires investigation and you would not have access to the property until the proper authorities had time to examine the debris for evidence of how the fire got started - it could be determined to be electrical, careless smoking or even arson. So it can take a while before you can even assess what you have left for stock, equipment or even business records.
  • You will have notified your broker or agent of the fire claim. Often an adjuster will be sent immediately to the site. The adjuster will start to work with you and an appraiser to determine the extent of the damage. If you have purchased coverage for business interruption, then the loss of business and income you are experiencing and will continue to experience for sometime, will be covered depending on the type of coverage you bought.

There are different types of business interruption, and you should confer with your agent or broker to be sure your needs have been correctly addressed. There is no one-solution for every type of business. This is when you take control of your insurance and get what you are paying for!