When a disaster strikes your business, the premises may be temporarily unusable. Your business will not be producing income and may continue to incur fixed costs (rent, utilities, etc.). Standard commercial property insurance does not cover the loss of income caused by the temporary closure of the business. Business interruption insurance can be included on your commercial property insurance coverage to cover this loss. Business interruption insurance can be a key asset for business survival in tough economic times or when the economy is thriving, but is often overlooked, nonetheless.
Business interruption insurance is probably the most valuable coverage your business can have. It is also coverage that is frequently overlooked by businesses. This is because it is easy to forget that income cannot be produced without an operating business or the business owner believes property insurance will cover all losses.
A business that has to close do