Many events could destroy your business, such as a tornado or a fire, and there really is no reason to not purchase this insurance. This type of coverage will give you the reassurance that if anything happens to your business, you are protected. Below, our Daytona Beach business interruption insurance claims lawyer delves further into this type of coverage.

All Businesses Need Business Interruption Insurance 

Regardless of whether you run a small business out of your home, a medium-sized business with your own storefront, or a large corporation, you need business interruption insurance. This coverage differs from liability insurance. It does not protect your business from lawsuits but rather, natural events such as wind, fire, or lightning.

The cost of business interruption insurance is minimal, especially when you compare it to the cost of rebuilding your company in the event that it becomes destroyed. If you do not currently have this type of coverage, you should speak to your insurance company about adding it right away.

What is Covered by Business Interruption Insurance? 

It makes even more sense to purchase business interruption insurance once you know what it covers. Some of the losses that could be covered include:

• Loan payments you cannot afford to pay while the doors of your business are closed
• Any lost net income you suffered
• Late fee or payments for your leases, mortgage, credit cards, and business loans, and
• Employee payroll and taxes

The above list is not exhaustive. There are many things business interruption insurance can cover and they are all extremely important during your time of need.

What is Not Covered by Business Interruption Insurance? 

While business interruption insurance can provide you with ample protection, there are some things it will not cover. These are as follows:

• Any inventory that was damaged due to a fire or storm
• Any items that got broken such as windows, glass, furniture, or flooring
• Personal belongings left in the office or store by you or your employees
• Items that became damaged in an earthquake or flood
• Business tools and equipment

While business interruption insurance may not provide coverage for the above items, that does not mean you are not protected. You may have other types of insurance that can provide the coverage you need. For example, if you are located in a high risk zone and you purchased additional flood insurance, you likely still have protection if your business is damaged by a flood.

Our Business Interruption Insurance Claims Lawyer in Daytona Beach Can Advise On Your Coverage 

If your company has suffered losses due to the fact that you could not conduct business, it is important to speak to a lawyer who can advise on the coverage you are entitled to. At Bundza & Rodriguez, our Daytona Beach business interruption insurance claims lawyer can review your policy to determine the coverage you have and speak with the insurance company on your behalf so your rights are upheld. Call us now at 386-252-5170 or contact us online to request a free consultation.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0600-0699/0624/Sections/0624.155.html

Business Interruption Insurance Covers Most Natural Disasters 

Like homeowners insurance, business interruption insurance will provide coverage for certain natural disasters. Some of the most common natural disasters covered under business interruption policies include:

• Theft
• Fire
• Hail
• Vandalism
• Wind
• Lightning
• Terrorism

Business interruption insurance does not cover the physical damage caused by the above events. Instead, it covers any losses caused by an interruption of business triggered by those events. For example, if a fire caused you to close your doors for one month while the damage was repaired, business interruption insurance would provide coverage for the loss of business.

What Coverage Does Business Interruption Insurance Provide? 

A business closure for even a few days can result in a great deal of financial losses. Business interruption insurance can cover the cost of these losses so your company does not suffer more than necessary. Some common types of coverage provided by these policies are as follows:

• Taxes
• Payroll and employee’s wages
• Lost profits
• Day to day operating expenses
• Relocation expenses
• Cost of new machinery
• Cost of retraining employees about how to use new equipment
• Monthly loan payments

Certain Losses are Not Covered 

While business interruption insurance can cover you for many losses, there are certain things that are not covered. These include:

• Flood-related losses: Just as homeowners insurance policies rarely cover damage from flood-related losses, the same holds true for business interruption insurance. If you suffered the above losses due to a flood, you are likely not covered. Purchasing a separate flood damage policy is recommended if your business is in a flood zone.
• Physical damage: While you likely have to close your doors because the property is physically damaged, business interruption coverage does not pay for the actual physical damage. It only covers losses you sustained as a result of the closure. Other parts of your policy, or a separate policy, can cover the physical damage to your business.
• Employee injuries: Natural disasters, fires, and other events can cause injury to your employees. Business interruption insurance will not cover the cost of these injuries so it is important to purchase and carry workers’ compensation insurance.

Our Business Interruption Insurance Claims Lawyer in Daytona Beach Can Determine if You are Covered 

Insurance policies are very confusing, and your insurer is unfortunately, not on your side. At Bundza & Rodriguez, our Daytona Beach business interruption insurance claims lawyer can determine what coverage you are entitled to and help you get it. Call or text us now at 386-252-5170 or chat with us online to schedule a free consultation.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0600-0699/0624/Sections/0624.155.html

What is a Business Interruption? 

Before filing a claim, or worrying about proving your case, it is important to understand what constitutes a business interruption for insurance purposes. One of the first things you must establish is that your business did in fact suffer from an interruption. It is not enough for your business to be closed for a day or two. For example, if you had to close your business for a day because you and your staff members are attending a conference, that is not enough to constitute a business interruption. In order to file a claim, your business must generally be closed down for three or more days.

Financial Records Can Prove a Business Interruption 

The best way to prove that your business was interrupted, and that your company suffered losses as a result, are financial records. A Daytona Beach business interruption insurance claims lawyer will collect your financial statements and income tax returns and compare them to your current sales records and other financial statements. This comparison can establish the costs and expenses you lost while your business was closed.

If your business had to close because it was damaged, you should also carefully document all damage sustained. This can also help prove that your business was interrupted and that you lost revenue as a result. For example, if a pipe burst and damaged walls, ceilings, and your product, you may have to close your doors temporarily to fix the damage. Documenting this damage, as well as the revenue you lost due to the interruption, can help you recover these losses.

The Importance of Including All Losses in a Claim 

Once you have recovered your losses due to a business interruption, you cannot go back to the insurance company for additional losses you discovered later. It is for this reason that it is critical to include all losses in your claim the first time. For example, if a burst pipe destroyed your signage, you may have to replace it. That alone can cost thousands of dollars, but you may also have to hire an electrician to ensure there is no electrical damage. It is important to review exactly what you will need for a repair or replacement, so nothing is overlooked in your claim.

Our Business Interruption Insurance Claims Lawyer in Daytona Beach Can Help with Your Claim 

If your business has been interrupted and you suffered losses as a result, you can file a claim. However, you should not do this alone. At Bundza & Rodriguez, our Daytona Beach business interruption insurance claims lawyer can help you through the process and help ensure you receive the full and fair settlement you deserve. Call us now at 386-252-5170 or contact us online to schedule a free consultation with one of our skilled attorneys.

Source:

myfloridacfo.com/docs-sf/insurance-consumer-advocate-libraries/ica-documents/business-interruption-coverage.pdf?sfvrsn=12f8084c_6

Understanding Business Interruption Insurance

It is a sad fact that approximately one in four businesses never open their doors again after being hit by a natural disaster. The main reasons for this is that business owners are often unable to overcome the increased expenses, lost profit, or the overall cost of rebuilding. To prevent this from happening and to allow their business to remain sustainable, savvy business owners purchase business interruption insurance.

Simply put, business interruption insurance provides financial protection for business owners in the event of a natural disaster in the future. As a business owner, you can obtain coverage after purchasing a policy if the following apply:

• Your business is damaged or suffers a direct physical loss that requires operations to stop,
• Your business is damaged or suffers a direct physical loss that results in customers being unable to access the property, or
• Your business is damaged or suffers a direct physical loss due to a government shutdown.

What Coverage Does Business Interruption Insurance Provide?

Business interruption insurance policies are often bundled together with general property and liability policies. However, the two are distinct policies and they provide coverage for different things. A property and liability policy will cover any actual damage to the property of the business. On the other hand, business interruption insurance covers losses such as the cost of operating off-site, fixed expenses incurred due to the business interruption, and the loss of revenue and income due to business closures.

Generally speaking, business interruption insurance provides coverage for losses such as the rent your business pays, workers’ wages, the cost of relocation, and other expenses. Contingent business interruption policies are also available, and these will provide coverage if there is a disruption in the supply change. Extended business interruption policies provide coverage for the losses incurred while repairs are being made to the business so it can operate at full capacity again.

Our Business Interruption Insurance Claims Lawyers in Daytona Beach Can Obtain the Coverage You Need

You may think that because you have purchased a policy protecting your business from any interruptions that obtaining coverage is easy. Unfortunately, that is rarely the case. Insurance companies are for-profit, and they try many tactics to reduce, deny, and delay claims. All of those tactics will hurt your business. At Bundza & Rodriguez, our Daytona Beach business interruption insurance claims lawyers will communicate with the insurer on your behalf so you obtain the full and fair coverage you need. Call us now at 386-252-5170 or contact us online to schedule a free consultation.

Sources:

middlemarketgrowth.org/multiples-report-qbe-insights-business-interruption/

content.naic.org/cipr-topics/business-interruptionbusinessowners-policies-bop