PGU – Business Interruption Insurance
Theres more to protecting your business than simple reimbursement of physical losses or repairing a building. What if a disaster renders your place of business temporarily or permanently unusable? You need to make sure you can recover the income youll lose while youre getting back underway. It can take a long time to get a business up and running again if renovations and/or relocation are required. Make sure youre covered if that happens.
What Your Compensated For
If your business has to move because of damage to your facility caused by fire, flood, or another covered mishap, business interruption insurance can cover the profits you would have earned during your downtime. Even if your physical losses are all covered, if you dont recover that lost income as well it could seriously hurt. Fortunately, theres a plan for it.
What to Check For
Be realistic. Assume its going to take longer than you hope for your company to get back on track, and make sure your policy limits cover that eventuality. There’s no point in being covered if you’re not covered enough. Sit down and do the math and make sure you know how much youd need to receive if you were down for two days, two weeks, or a month. Depending on what sort of business you have, who knows how long it could take to get rolling again?
When youre setting up your companys insurance policy, make sure the business interruption coverage is adequate in case the worst happens to you. The price of the policy now may save you the price of everything you depend upon later.