Unless they are able to resume operations within five days, an estimated 90% of small businesses fail within a year of experiencing a large-scale disaster, according to financial experts. That’s why it’s crucial for organisations like yours to have business interruption (BI) insurance. At a glance, BI cover offers protection for loss of income in the event that an unexpected disaster (eg fire or flood) prevents you from conducting business operations.

Most BI policies provide cover in circumstances where a disaster causes physical damage to your own business property. However, there are a variety of common BI policy extensions that can offer additional protection beyond your business doors:

Supplier Extensions
These policy extensions can provide protection in the event that your business is unable to receive materials or services from a supplier due to a business interruption disaster on their premises.

 

Customer Extensions
These policy extensions can offer protection if your business is unable to deliver goods or services to a customer due to a business interruption disaster on their premises.

 

Utility Extensions
These policy extensions can provide protection in the event that your business loses access to vital utilities (eg water, gas or electricity) due to a business interruption disaster on the utility provider’s premises.

 

Denial of Access Extensions
These policy extensions can offer protection if you are unable to access your business property or conduct key operations due to a disaster that occured nearby (eg an explosion)

 

 

Contact one of our brokers  for additional guidance and insurance solutions.

 

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