July 2007

Extra Expenses Can Cripple

A terrible storm blows through your town, severely damaging much of the equipment, supplies and materials you keep in storage. After surveying the damage, you realize that it will take days, if not weeks, to replace the damaged goods. What’s more, the cost will be far greater than you expected. What can you do?

If a loss to your property could threaten your ability to continue doing business for a period of time, consider a business income policy with extra expense coverage. Although other forms of property insurance will cover direct losses to property, a business income with extra expense policy will reimburse you for loss of income resulting from property damage. The extra expense coverage will pay for expenses that wouldn’t have occurred without the loss, such as additional costs to expedite replacing critical equipment or renting a temporary location. In many claims, it’s not the direct loss to property, but the resulting loss of income and extra expenses, that cause businesses to go under. For more information on this valuable coverage, call our agency team today.