Have you considered what the impact would be of an unforeseen event on your business’ income and/or profitability?

Many businesses fail to recover from a major event such as fire, storm or earthquake as overheads (such as wages and rent) continue even though the business may be unable to trade.

You should protect your business by taking Business Interruption cover.

This product is a section available under the business package.  Cover is available when you have insured for fire protection and these different sections could be placed in a package with your public and products liability, glass, money, burglary, electronic and machinery breakdown cover etc

Each insurance company is different, but they all understand that there is usually a reduction in the business turnover when a customer’s business premises are severely damaged.  For example, this reduction may arise from a fire that destroys the premises and/or business contents or a burglary that reduces stock levels.

Financial loss to the business will arise from an inability to operate or trade at normal levels causing cash flow to be affected.  In fact, most businesses suffer a reduction in turnover rather than a total stop to their operations.  Income may cease for a period whilst the property is being replaced, however there may still be loan repayments to make, employees to pay, and key customer accounts to manage.

It is an accepted fact that over 50% of businesses that suffer a physical loss and that do not have business interruption cover, will not resume their normal business operations.

Business Interruption provides cover for consequential loss of income and/or profits or revenue resulting from the interruption of, or interference with your business caused by damage covered under the Fire and Perils, Theft, Money or Glass sections.