Business Interruption Week – Part 1 – What is it?

For many years I’ve used the same story to help business owners understand what exactly business income coverage does. It’s a silly story but it does the job.

Pretend you own a goose (a building). Your goose lays golden eggs (cash flow). If your goose is run over by a truck, it’s going to take you nine months to get a new goose (get back into operation). You have insurance that will pay for the cost of the new goose (property insurance), but what about the value of the eggs you won’t get in the nine months you’re without a goose?

Business income coverage pays the value of the eggs while you’re waiting for your new goose.

(Photo By Steve Fields)