For many businesses, to have their operations interrupted even for a few weeks could be financially catastrophic for them.
Business interruption insurance can provide a financial stop gap until operations can return to normal.
This type of insurance can provide cover for the reduction in your business income arising from an insurable event. It can also provide cover for the additional costs associated with running your business (for example, rent of alternate premises or hire of replacement equipment) for the insured period whilst normal operations are interrupted.
Examples of situations that may be eligible under a business interruption insurance claim can include the reduction in business income and additional expenses incurred as a result of:
• Access limitations to your premises, arising from (for example) works done on adjacent pathways or roadways
• Damage to premises where they are unable to be used for normal operations (where the physical damage to the property is covered under a Property Damages policy)
• Computer installation malfunction (where the physical damage to any computers is covered under a Property Damages policy).
Business interruption is an optional cover available as part of your office insurance policy. It is however, an important part of the insurance portfolio for many businesses by providing a buffer against the financial consequences of a number of damaging events.
Contact us for expert advice about the type and amount of business interruption cover your business needs to protect itself properly.
