How Business Interruption Insurance Can Help Restaurants and Retailers Recover Faster

Businesses of all sizes and throughout all industries rely on fulfilling customer needs or otherwise operating smoothly and dependably. Even slight interruptions, delays and fluctuations can incur unexpected financial hardship, which may have far-reaching ramifications for a company’s ongoing goals and viability. Reliability and customer satisfaction are paramount for retailers and restaurants, making expedited recoveries from various incidents essential.

What Is Business Interruption Insurance?

In the wake of many common incidents that might impact your retail shop or restaurant, business interruption insurance can make all the difference. This type of coverage can help insulate your business from the financial fallout of delays and disruptions, potentially assisting you in getting back on track as soon as possible. Specifically, your insurance may help pay for the following:

• Reduced revenue

• Employee wages

• Taxes

• Loan payments

• Utility bills

• Temporary relocation costs

What Situations Can My Coverage Address?

Business interruption insurance may often list similar or identical covered perils as commercial property insurance, typically including fires, burglary, theft, vandalism and certain types of water damage. Consider the following real-life scenarios and how appropriate coverage may help your company endure and get back on its feet:

• If a fire breaks out in your restaurant’s kitchen or store’s stockroom, it could cause devastating damage and force you to close temporarily. Fortunately, claims against your business interruption insurance could help you recoup sales you would have made during a closure if not for the fire.

• If a pipe bursts and subsequent water damage renders your premises uninhabitable, you could face steep losses. However, business interruption coverage may help pay for a temporary location from which you can operate until remediation and repairs are completed.

• If criminals break into your business and cause property damage, you may need to close while repairs for repairs or to allow police to investigate the incident. During this time, your policy may help you keep up with ongoing expenses, such as rent, mortgage payments and other loans.

We’re Here to Help

Contact Zenitram Insurance Agency LLC in San Antonio, Texas, today to learn more about how business interruption coverage can help secure your restaurant or retail store’s financial interests.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.