A construction prevents the access of my clients to the business, what do I do? One of the worst moments for a business is to close due to external causes. For example, because work is being carried out on the public highway that gives access to the premises, or if the shopping center where the business is located has to undertake a major reform.
Although you are not required to close, if circumstances prevent or hinder the passage of customers to the business, there is a loss of income that can lead to bankruptcy. However, if the business has business interruption insurance, this coverage will protect it from losses incurred during closing.
Business interruption insurance typically covers fixed business expenses such as rent, taxes, loans, and wages.
Sometimes the outage is caused by a supplier of the essential raw material for the business. For example, a trouser company whose fabric supplier suddenly stops supplying. Business interruption insurance could cover losses associated with this incident while the business looks for new business alternatives.
Business interruption coverage is usually included in the business owner’s insurance package -BOP-. However, it is the owner’s job to check if the specific risks that could interrupt the activity of their type of business are duly covered.
It is not about having insurance because the law requires it. It is about insurance being the most efficient when it comes to protecting you in the different scenarios that the business must go through. A construction prevents the access of my clients to the business, what do I do?
A construction prevents the access of my clients to the business, what do I do?
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