How your company can benefit from having business interruption insurance coverage.
Stop for a moment and imagine what would happen if your business suffered major damage that prevented operations from continuing as usual. While you probably have the right business insurance in East Lyme, Connecticut to pay for the necessary repairs, your company might never recover from the revenue you lost while the repairs were taking place. Fortunately, there are steps that you can take to protect your business when operations come to a screeching halt. One of the best preventative measures to take is securing the right business interruption insurance. Here’s what this special commercial coverage can do for your company.
- What is Business Interruption insurance?
Business interruption insurance covers a portion of a business’s lost revenue if it is forced to temporarily shut its doors. In addition to paying a portion of this lost capital, business interruption insurance also offers businesses financial support to pay for the recurring expenses that they are responsible for. For instance, this type of insurance can help you cover your business’s rent, utility bills, and employee paychecks.
- When Does This Insurance Kick In?
Business interruption insurance coverage kicks in whenever a covered peril causes damage to your business’s physical building or the supplies and equipment that is necessary to complete normal operations. Common business interruption situations include fire, flood, vandalism, theft, extreme weather events, and so on.
- How Much Does This Insurance Cost?
The cost of business interruption insurance will depend on the nature and location of your business. For instance, if your business often works with fire or dangerous substances, then this increases your business’s risk for damage. Because your risk for a business interruption is higher, you would have higher insurance costs. Similarly, if your business is located in an area that experiences major storms or high fire risk, then your insurance rates will also be on the higher end.
This is what you need to know about business interruption insurance. Do you have additional questions about your business insurance in East Lyme, Connecticut? If so, then contact the experts at The Reardon Agency. Our dedicated team is eager to assist you with all your commercial coverage needs today.
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