Business Interruption Insurance
Natural disasters such as earthquakes, fires, floods, and severe weather can cause a business to close temporarily. But just because your business cannot make deliveries, take orders, or perform its other basic functions does not mean that the business will not have to pay taxes, salaries, and other expenses. Business interruption insurance can help a business avoid disaster at such times.
What is Business Interruptions Insurance?
Business Interruption Insurance is commercial coverage that reimburses a business owner for lost profits and continuing fixed expenses during the time that a business must stay closed because of a covered peril, such as a fire or other insured hazard. You shouldn't assume your current policy includes business interruption coverage. Many business owners don't even think about it until such coverage is needed. Consider these five variables when purchasing insurance: price, coverage offered, specialization of insurance company, reputation of the insurance underwriter, and the size of the deductible.
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