Judy Johnston Insurance Services

Business Interruption Insurance

Business Interruption Insurance

At Johnston Insurance, we understand that businesses face an array of challenges, and some of the most unexpected ones can disrupt operations, leading to financial losses. That’s where Business Interruption Insurance steps in as a vital safeguard.

What Is Business Interruption Insurance?

Business Interruption Insurance, sometimes referred to as Business Income Insurance, is a policy that helps protect your company’s financial stability when unforeseen events interrupt your regular operations. These events can range from natural disasters like fires and floods to unexpected incidents like equipment breakdowns or civil emergencies.

Who Should Invest in Business Interruption Insurance?

Business Interruption Insurance is relevant for virtually all types and sizes of businesses, including:

  1. Small Businesses: Even the briefest interruption in daily operations can have a significant impact on small businesses with limited financial resources.
  2. Medium-Sized Enterprises: Mid-sized companies often have a lot at stake, including employees’ livelihoods and customer trust. Protecting against interruptions is crucial.
  3. Large Corporations: For larger enterprises, the scale of potential losses during business interruptions can be substantial. Having a comprehensive Business Interruption policy can mitigate these risks.

Why Is Business Interruption Insurance Important?

  1. Maintain Cash Flow: When a disruption occurs, your regular revenue stream may dwindle or cease altogether. Business Interruption Insurance helps cover ongoing expenses like rent, employee salaries, and utilities, ensuring your business remains financially stable during downtime.
  2. Recovery Assistance: It supports your efforts to get back on your feet by covering expenses related to temporary relocation, equipment repair or replacement, and marketing to regain customer trust.
  3. Employee Security: It enables you to continue paying your employees even when business operations are temporarily halted, fostering loyalty and retaining valuable talent.
  4. Business Viability: In some cases, business interruptions can be so severe that they threaten the very existence of your company. Having this coverage can be the difference between recovery and closure.

Having Business Interruption insurance can assist with:

  • Paying your employees salaries
  • Covering your water and electricity bills
  • Keeping your mortgage and property taxes
  • Renting equipment to keep working
  • Running out of temporary location

At Johnston Insurance, we are committed to helping you safeguard your business against unforeseen disruptions. Our experienced team will work closely with you to assess your unique needs and tailor a Business Interruption Insurance plan that provides you with the peace of mind to focus on growing your business, knowing you’re protected when the unexpected strikes. Contact us today to learn more about how Business Interruption Insurance can be a cornerstone of your business risk management strategy.

Business interruption insurance can protect you from future losses or unexpected risks such a:

  • Losing your best employees or another company attracting your customers
  • Extra costs during your renovations
  • Having to give up contracts and business partnerships
  • Losing a portion or all of your sales

Business Interruption Insurance can make the difference between a temporary setback and going out of business. It helps cover the expenses necessarily incurred to resume normal business operations resulting from the interruption of business when the building or business contents are damaged as a direct result of an insured loss.

Hours of Operation

Monday – Friday 8:30AM – 5:30PM
Saturday 9AM – 3PM