The Basics of Business Interruption Insurance

4/9/2018 (Permalink)

As a business owner, you already know the importance of insurance. From liability insurance to car insurance and beyond, these plans are part of your everyday operations and allow you to conduct business in your establishment with confidence. Despite this reliance on insurance, many business owners in South Louisiana are unaware of one of the most beneficial coverage options out there: business interruption insurance. It has a lot to offer, such as:

• Compensating you for business lost during a rebuild
• Covering operating expenses (electricity, water, etc.) when your building is unusable
• Pricing based on present risks in your particular business

Keeping Your Doors Open

The main point of this type of insurance is keeping your doors open while you’re undergoing a rebuild after a fire, flooding or other disaster has occurred. As you know, a closed business makes no money, and with no profit, it could be impossible to keep your business open long enough to see the repairs finished. By compensating you based on your business’s normal income and taking care of operational costs, this service is designed to make sustaining a damaged business easier until you can open the doors again.

Pricing

Business interruption insurance typically isn’t sold on its own. Instead, it will be included in a packaged deal with another type of insurance you purchase for your place of business. Much like your other coverage options, the price for this addition depends largely on what type of business you own. For example, a restaurant or any other business with a higher risk for fire damage will have a higher cost than a dentistry, just as businesses located in known flood zones will make higher payments than those that aren’t.

Adding this insurance option to your policy might cost you a little more at first, but if you ever need to undergo an emergency rebuild it could very well save your business. Visit http://www.SERVPROsouthlivingston.com for more information on commercial storm damage.