What is Business Interruption Insurance?
Many disasters can have long-standing effects that impact a business far beyond when a disaster itself is over. Depending on the disaster and recovery needed, the costs to a business can last for days, weeks, months or even longer. Business interruption insurance policies help Massachusetts businesses manage covered prolonged durations of economic loss that follow certain disasters.
Business interruption insurance is a specialized type of commercial insurance. Rather than offering protection against liability lawsuits or protecting physical property, the insurance acts as a safeguard from certain sustained income losses. For businesses that experience these troubles, the coverage often proves invaluable.
What Businesses in Massachusetts Need Business Income Insurance?
There are many businesses in Massachusetts that may benefit from having a business income insurance policy. The following are merely a few examples of why specific businesses might want coverage:
- Motels and hotels can take months to rebuild after a covered disaster
- Restaurants might have fewer customers for a while after reopening
- Manufacturing businesses might not have sellable products while rebuilding facilities
- Resorts might see lower tourist numbers following a disaster
In short, almost any business that would struggle to afford its necessary bills following a disaster should consider purchasing business income insurance.