INSURANCE AGENCY NETWORK Blog
Business interruption insurance is coverage that protects a business against losses caused by a disaster. It also covers costs of lost profits if the company is unable to operate for an extended period. If you're wondering how long business interruption insurance lasts, here's what you need to know.
Business interruption insurance can help protect your company from financial losses caused by a natural disaster or other events that shut down your operations. A standard policy lasts 30 days, but it can be extended up to 360 days with the right endorsement.
What Does Business Interruption Insurance Cover?
Business interruption insurance is a type of insurance that covers the costs incurred when a business is interrupted by either an act of nature or an accident.
It also covers business inventory and equipment loss, which means you have the means to start over again quickly. The insurance policy will provide funds for temporary employees, rent/mortgage payments, income support, and legal fees.
How Much Do I Need?
Some insurance policies have a coverage limit of as little as $100,000. That means that if your company incurs an interruption cost of more than that amount, you'll be responsible for paying it back yourself. This coverage limit should also cover the costs of setup and relocation if your business is forced to relocate.
You should look for a business interruption policy that covers the amount of money you would need to pay out of pocket for a large interruption. Find a policy with a coverage limit that is lower than your average cost per month.
How Long Does it Last?
Business interruption insurance coverage can last up to 360 days and is determined by the endorsement you choose. The standard policy is 30 days, but using an endorsement can extend it even longer.
How Much Does Business Interruption Insurance Cost?
It can cost a lot of money to protect your business from the costs of business interruption, but it's worth it. It usually costs around $40 to $150 per month.
Find out how much your business interruption insurance could cost and if it's right for you.
With business interruption insurance, you gain peace of mind knowing that you protect your company's investments should it become impossible to conduct your business. With this type of coverage, you can focus on the important things in life - family, friends, and health.
At Insurance Agency Network, we put our clients first by offering them policies that they can afford. Having insurance is a necessity nowadays, and we're here to help you out. Learn more about our products and services by calling our agency at (425) 448-9190. You can also request a free quote by CLICKING HERE.