One fire, one power outage, and your operation shuts down until you get the place up and running.
Are you prepared if such a disaster happens? Not only for the damage to the property but the revenue you’ll lose? The expenses that will still need to be paid?
Brady Risk Management will help you be prepared.
We’ll provide you with Business Income insurance protection and the specific amounts your establishment needs to help normalize your financial position should you be forced to close due to a loss. Here are some of the areas we’ll address:
- Coverage time frame, necessary to determine the business interruption loss. Even once you get back up and running, repairs may be still be underway.
- Deductible: Usually between 24 to 72 hours. This may not work for you if a loss occurs before the weekend and you lose significant revenue because you’ll be closed.
- Loss of revenue. What are your annual sales and what percentage should be covered?
- Ordinary payroll. Even if business activities are temporarily stalled, operating expenses and other costs such as rent, taxes, interest on bank loans, payroll costs, etc., can’t go unpaid. How much do you need to cover these?
- Extra expenses: Perhaps you’ll move the business to a different, temporary location, what type of extra costs are involved?
- Contingent Business Income: Are you dependent on another business nearby, such as a museum or arena, for clientele and if that business experiences a loss, will your establishment suffer? Will you lose income?