Business interruption insurance helps protect against lost income due to a covered peril listed in your business owner’s policy. Covered perils typically include theft, fire, wind, falling objects and lightning.
Business interruption coverage may help reimburse you for lost income from the stolen or destroyed merchandise (minus expenses you would’ve already paid, such as shipping.
Business interruption insurance may also cover you for extra expenses if you must relocate your business temporarily because of fire.
Business interruption insurance has a coverage limit. Financial losses that exceed your coverage limit are your responsibility. That’s why it’s important to choose coverage limits that are appropriate for your business.