Business interruption insurance

When organising a business insurance plan, it is important to know at least a little about the different cover options that are available.

One option that you might want to consider is business interruption insurance.

This type of insurance is designed to cover the loss of income your business might experience due to a fire or other disaster causing your premises to be temporarily out-of-action.

The difference between business property insurance and business interruption insurance is simple: while the former only covers the physical damages your company incurs, the latter goes just that bit farther and reimburses you for the profits you would have earned had your business not come to a halt.

Basically, business interruption insurance will cover your employees wages, outstanding debts and any increased working costs that are a direct result of a loss-causing event until your facilities are back up-and-running.

Both small and large businesses can benefit from having this cover option added to their business insurance policies or packages. Small business owners in particular should consider whether their companies would survive if they were forced to stop conducting business for a short or long period of time.

If your business is dormant for too long, you may lose out to and be overtaken by your competitors.

However, the size and function of your business will determine the specific circumstances under which it might suffer interruption.

Nobody wants to pay for cover that they don't need, or organise an insurance policy that doesn't cover their business in the areas that need it most.

That's where Elders Insurance comes in. We can help you determine what disasters are likely to have the biggest impact on the smooth-running of your business - such as property damage or bomb threats - and make sure you are covered for them.

Talk to us today about organising a new business insurance plan, or adding business interruption insurance on to your current policy.