Extended Business Income Coverage

I have often posted on business income insurance.

The coverage pays for lost profits and expenses that continue while a business is rebuilding from an insured loss that causes an interruption in the business.

What about the time it takes to get a business back-up and running after construction is complete but when the business is still not operational?

Your manufacturing plant is rebuilt and operational.  However, it may take 3 months for your customers to come back – if they come back at all?

Many policies only provide 30 days extension.

What if you are a hotel in Maine and your place burns in July and is ready to open in December?  You have lost a year’s worth of business and may not see your first guest until June.

Consider how long it will take to rebuild.  Move that loss into your most profitable time of year (the worst possible loss).  How long will it take to get back into “normal” operations.

Talk with your insurance advisor about how your insurance responds.