Operating your own business is a huge accomplishment; it’s a cornerstone of the American dream. However, this kind of opportunity also comes with risk. While you may never plan on shutting your doors or putting your business on hold for unforeseen maintenance, illnesses, or other unexpected circumstances, sometimes it is unavoidable.
Business income insurance exists to be the safety net to get your company through hard times, paying bills and covering payroll when you can’t. Let’s explore how these kinds of policies can protect your entrepreneurial pursuits.
What Is Business Income Insurance?
Business income insurance, also referred to as business interruption insurance, covers events beyond your control. If you have a fire, vandalism, weather-related damage, or other event that interrupts the operation of your business and causes a loss, this kind of policy has you covered.
If your business is forced to close temporarily because of damage to property or physical loss, business income insurance covers:
- Income loss
- Operating expenses
- Relocation expenses and any advertising needed for your temporary or new location
Why Your Company Needs Business Income Insurance
Unexpected interruptions often come with a significant financial impact. Business income coverage will replace your lost income and more by helping your company survive until it resumes operations. It offers additional financial assistance to help your business recover from property damage and stay operational.
Imagine you had an electrical fire that damaged much of your showroom. You may be forced to close during repairs and renovations and may require you to reorder new products. While your commercial property insurance would cover the physical damage to your business by replacing damaged property and equipment, it will not cover any lost income while your business is closed. Business income insurance helps with any revenue loss while your company gets back on its feet. It also comes with the added benefits of protecting your cash flow, maintaining employee morale, and retaining customer relationships.
Who Needs Business Income Insurance?
Whether your business is big or small, any industry can benefit from this type of coverage. At Eber & Associates, we have insured everything from brick-and-mortar stores like retail shops and restaurants to manufacturing companies.
Business income insurance supports companies in their time of need. Unfortunately, many scenarios can interrupt a business, such as supply chain disruptions, natural disasters, or cyberattacks. When disaster strikes, income insurance steps in to save your business.
Eber & Associates Knows What Your Business Needs
Knowing what you need regarding insurance can be tricky, and you want to avoid getting policies you’ll never use or paying too much for coverage you don’t need. The factors determining coverage pricing can differ for each business depending on your revenue, expenses, and recovery time.
At Eber & Associates, we understand the importance of working with an insurance agent who knows your business, so we can tailor each policy to meet your unique needs. When you choose business income insurance, our team will make your company’s survival a top priority.
Contact Eber & Associates for a comprehensive insurance review and get a free quote today.
