The purpose of insurance is to soften the blow when a company suffers from a financial burden surrounding a personal or business loss. An owner of a company, particularly in areas ravaged by fierce storms and other natural disasters, such as those in the Garden State area, will be best served by purchasing New Jersey business interruption coverage, because anything can happen and likely will at one time or another. The main reason for this is, because if or when a loss does occur, you know that your business has a better chance of survival with this type of insurance than it does without.

A business interruption policy is intended to provide protection for the loss of any profits that may incur when a business is forced to close their doors for even a few days, and perhaps much longer. Owners must endure continued expenses even when a business is forced to temporarily close, for example, as a result of property damage. And the financial impact of business interruption can extend far beyond lost earnings during any downtime and the cost of repairs to get the company back on track. And truly, most of you would like to get back to business as soon as possible.

Coverage needs differs from one type of company to another

There are many types of business interruption coverage and insurance policies are often structured based on a business’ particular needs. It’s a good idea to have an agent do a thorough review in order to help you understand what coverages are provided within your specific policy.

Determining a business interruption loss can also be quite complex. It will likely involve determining what your business would have earned had the loss not occurred, while also taking into account how future business plans and market trends might have impacted your earnings. Insurance companies will take into account past tax returns, profit and loss statements, projected sales and non-continuing expenses to help make a proper determination.

The main purpose behind New Jersey business interruption coverage is to help you to minimize your losses while helping you get back to doing what you do best. Speak to an agent who specializes in business insurance to help you get the coverage you need at a price you can afford.



photo credit: Pen, Diary and Glasses (license)