Call Us 512-871-0864 ☰ ˟
Logo
  • home
  • Products
    • Automobile
    • Homeowners
    • Renters
    • Watercraft & Boat
    • Windstorm
    • Motorcycle
    • Bonds
    • Farm
    • Recreational Vehicle
    • Life
    • Flood
    • Trucking
    • Business & Commercial
  • get a quote
    • Auto Insurance Quote FormsImage of right arrow
      • Auto Quote Form
      • Classic Care Quote Form
      • Mexico Travel Insurance Quote
    • Bonds Quote FormsImage of right arrow
      • Bond Request Form
    • Business & Commercial Insurance Quote FormsImage of right arrow
      • Builders Risk
      • Business Owners (BOP) Quote Form
      • Commercial Auto Insurance Quote
      • General Liability Quote Form
      • Landlord Property Quote Form
      • Liquor Liability Quote Form
      • Other Quote Form
      • Workers Compensation Quote
    • Farm Insurance Quote FormsImage of right arrow
      • Farm Quote Request
    • Flood Insurance Quote FormsImage of right arrow
      • Flood Quote Form
    • Homeowners Insurance Quote FormsImage of right arrow
      • Homeowner Flood Quote Form
      • Homeowners Quote Form
      • Landlord Property Quote Form
    • Life Insurance Quote FormsImage of right arrow
      • Life Insurance Quote
      • Other Quote Form
      • Term Life Insurance Quote
    • Motorcycle Insurance Quote FormsImage of right arrow
      • Motorcycle Insurance Quote
    • Recreational Vehicle Insurance Quote FormsImage of right arrow
      • Recreational Vehicle Insurance Quote
    • Renters Insurance Quote FormsImage of right arrow
      • Renters Insurance Quote
    • Trucking Insurance Quote FormsImage of right arrow
      • Truck Quote Request
    • Watercraft & Boat Insurance Quote FormsImage of right arrow
      • Watercraft Insurance Quote
    • Windstorm Insurance Quote FormsImage of right arrow
      • Wind Quote Form
  • customer service
    • Auto Insurance Customer Service FormsImage of right arrow
      • Request ID Card for Auto Policy
      • Send Declaration and Coverages Information to Lien Holder
    • Business & Commercial Insurance Customer Service FormsImage of right arrow
      • Request General Liability Certificate of Insurance
      • Request ID Card for Commercial Auto Policy
    • Homeowners Insurance Customer Service FormsImage of right arrow
      • Request Evidence of Insurance
    • Motorcycle Insurance Customer Service FormsImage of right arrow
      • Request ID Card for Motorcycle Policy
    • Other Customer Service FormsImage of right arrow
      • Policy Review Request
  • blog
  • resources
    • Refer a Friend
    • Important Links
    • Insurance Glossary
  • about us
    • About Us
    • Locations
    • Employee Directory
    • Testimonials
    • Privacy Policy
Icon Auto Icon Home
Icon Flood
Icon Business
Icon Life Icon Motorcycle
Home > Blog > What Is the Value of Business Interruption Insurance?
WEDNESDAY, SEPTEMBER 21, 2022

What Is the Value of Business Interruption Insurance?

Business interruption insurance provides financial protection for a business when it cannot operate. It is an important form of business insurance. It can help to replace the income lost as a result of a covered event.a man standing in front of a window

Business interruption coverage may not sound like an important investment. But, it could mean keeping your business operational long term.

When Does Business Interruption Insurance Apply?

Business interruption insurance usually applies to situations where the business cannot operate for a period of time. This may include instances such as a natural disaster or fire. It often will not cover instances where the owner failed to maintain equipment or, in some cases, flooding. Your policy will specifically outline the types of instances when it applies. Generally, these instances are disaster-related.

When Does It Apply?

Most of the time, business interruption insurance does not cover a single days’ outage. It may step in to provide you with financial protection once a specific period of time passes. This is often 48 hours. Those first 48 hours are generally not covered by the business insurance.

How Much Does It Pay?

This depends on various factors. The insurance company will work with you to determine how much income you lost during the shuttered period. If your business closed for a week due to a covered claim, the insurer will estimate the amount of income your company was likely to produce during that time.

You may also want to consider an extra expense coverage. This can help to extend how much financial protection your business receives. This can help you to avoid having to shut down your company during a significant restoration period. It may provide sufficient coverage without the need for business interruption coverage.

Why Do You Need It?

Why invest in this type of coverage? Most businesses can withstand closing for a day or two. You may have the financial means to cover this.

Yet, when an extended period of closure occurs, you may have trouble maintaining costs. You are still responsible for paying your vendors. You may need to pay employees so they do not move on to another job. You may need to pay other costs to keep your business sound even though your company is not making any money. Business interruption insurance covers these types of losses.

Nancy K Agency can help you get a fast, free business insurance quote that fits your needs. Call us at 512-871-0864 for more information.

Posted 5:00 PM

Tags: business insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021

  • auto insurance(4)
  • home insurance(3)
  • business insurance(3)
  • flood insurance(2)
  • life insurance(1)
  • bonds(1)
  • commercial auto(1)

View Mobile Version
Insure your needs today!
Social Social Social Social
Quick Links
Home
Get A Quote
Payment Options
Report a Claim
About Us
Our Carriers
Blog
Contact Us
Location 2312 Western Trails Boulevard
Suite 102B
Austin, Texas 78745

Ph: 512-871-0864
Fx: 866-882-8011
Powered by Insurance Website Builder