Business Interruption Insurance

Business Interruption Insurance

What is Business Interruption Insurance?

If there’s one universal law of business, it’s that time is money. Every second that you aren’t working is a second you’re not earning revenue. Businesses today aim to avoid any and all interruptions, but that’s not always possible. Your business may need to close temporarily due to a major storm, fire, equipment theft or other issue at any moment, which forces you to stop producing until you can get things back on track.

Business interruption insurance compensates you for the cost of such interruptions. While specific coverage varies by policy, such insurance typically covers actual losses sustained from fires, extreme weather, theft, or other uncontrollable circumstance. Based on your company’s past performance, we can calculate the amount of money you would have earned had the interruption not occurred. You may find it possible to cover expenses that you had to pay to resume operations more quickly. For example, if your building was damaged and you had to move to a temporary space, interruption insurance policies may cover the cost of renting the temporary space.

Which Businesses Need Interruption Insurance? While interruptions can affect any business, they are particularly serious for companies that depend on:

  • Strategic Locations – Some businesses, such as restaurants, depend on access to specific sites. If a fire or storm damages your workplace, you can’t set up shop elsewhere while you wait for the building to be repaired. In this case, business interruption insurance is extremely valuable.
  • Essential Equipment – Manufacturers and other companies depend on heavy, expensive equipment that isn’t easy to replace. If that equipment is stolen or damaged, you’ll need time to repair or replace it. Business interruption insurance can help keep your business prospering in the ensuing down time.
  • Vulnerable Sites – Some business sites, such as those in flood-prone locations, are likely to deal with business interruptions on a more regular basis. If this is the case for you, regardless of your industry, interruption insurance is a good investment to help keep your business above water.

At Carolina Insurance Group, we offer business interruption insurance to companies all over South Carolina. We take a personalized approach to insurance, learning as much as we can about your company and finding a policy that works with your unique business needs. For more information, contact us today.