What would you do if you couldn’t conduct business for an extended period of time? Would you be able to survive if damage occurred and you were out of business for several weeks or months?
The answer for most small business owners is no.
Business interruption insurance can be as vital to your survival as a business owner as fire, flood, or any other type of business insurance. Most people would never consider opening a business without buying insurance to cover damage due to these types of risks.
Unfortunately, too many small business owners fail to think about how they would manage if a fire or other disaster damaged their business premises to the point where they were temporarily unable to conduct business.
Business interruption insurance covers you for lost income if your company has to vacate the premises due to disaster-related damage that is covered under your property insurance policy, such as a fire.
It also covers the revenue you would have earned, based on your financial records, had the disaster not occurred. The policy also covers operating expenses, like electricity, that continue even though business activities have come to a temporary halt.
How much is Business Interruption insurance?
The price of the business interruption policy is related to the risk of a fire or other disaster damaging your premises.
All other things being equal, the price would probably be higher for a restaurant than a real estate agency for example because of the greater risk of fire.
Also, a real estate agency can more easily operate out of another location.
San Clemente is a city in Orange County, California. The population was 63,522 at the 2010 census. Located On the California Coast, midway between Los Angeles and San Diego at the southern tip of the county, it is known for its ocean, hill, and mountain views, a pleasant climate and its Spanish Colonial style architecture. San Clemente's city slogan is ""Spanish Village by the Sea"". The official City flower is the Bougainvillea and the official City tree is the Coral tree.
Prior to the arrival of the Spanish, the area was inhabited by what came to be known as the Juaneño Indians. Long admired by explorers and passing settlers, it remained virtually uninhabited until 1776, when Mission San Juan Capistrano was established by Father Junipero Serra and led both Indian and Spanish settlers to set up villages nearby. After the founding of Mission San Juan Capistrano, the local natives were conscripted to work for the mission.
Property rights to the land exchanged hands several times, but few ventured to build on it until 1925, when former Mayor of Seattle, Ole Hanson, with the financial help of a syndicate headed by Hamilton Cotton, purchased and designed a 2,000-acre (8.1 km2) community. Hanson believed that the area's pleasant climate, beautiful beaches and fertile soil would serve as a haven to Californians who were tired of ""the big city"". He named the city after San Clemente Island, which in turn was named by the explorer Vizcaino in 1602 after Saint Clement, whose feast day occurs on November 23, the day of Vizcaino's arrival on the island.
San Clemente, city, Orange county, southern California, U.S. It lies along the Pacific Ocean, midway between San Diego and Los Angeles. Founded in 1925 by Ole Hanson as a planned real-estate development called “Spanish Village by the Sea,” the site was named for offshore San Clemente Island, which was named by the Spanish explorer Sebastián Vizcaíno to honour St. Clement. Chiefly residential, the city gained national prominence in 1969 when U.S. President Richard M. Nixon purchased property there for use as a summer White House. Casa Romantica (1928), Hanson’s bluff-top home, is a popular local attraction and cultural centre.