Business Income Insurance (Business Interruption)
Business income insurance — also called business interruption insurance — replaces lost revenue and covers ongoing expenses when your business can't operate due to a covered event like a fire, storm, or equipment failure. Your commercial property policy pays to repair the building, but who pays your rent, payroll, loan payments, and lost profits while you're shut down? Business income insurance does.
Coverages we place
- Lost net income during the period of restoration
- Continuing fixed expenses (rent, utilities, loan payments)
- Payroll continuation for key employees
- Extra expense to operate from a temporary location
- Extended business income after reopening (recovery period)
- Civil authority coverage (government-ordered closure after nearby damage)
- Contingent business income (supplier/customer disruption)
- Utility services interruption
Who needs this coverage
Every business with a physical location, fixed overhead costs, or revenue that would stop during a forced closure: restaurants, retail stores, offices, manufacturing facilities, medical practices, salons, auto shops, and any business that can't operate remotely if its premises are damaged.
What drives your premium
- Annual revenue and profit margins
- Fixed monthly expenses (rent, payroll, loans)
- Estimated time to rebuild or restore operations
- Industry (restaurants take longer to rebuild than offices)
- Location and property type
- Whether extra expense coverage is included
Common exclusions
- Events not covered by the underlying property policy
- Flood and earthquake (unless property policy includes these)
- Pandemic or virus closures (most policies exclude)
- Utility failures originating off-premises (unless endorsed)
- Losses exceeding the waiting period or coverage period
Frequently asked questions
How much business income insurance do I need?
Calculate your monthly fixed expenses plus net income, multiply by the estimated months to rebuild. Most businesses need 6–12 months of coverage. We help you run the numbers so you're not underinsured.
How much does business income insurance cost?
Business income coverage is typically included in a BOP or added to a commercial property policy for $500–$3,000/year, depending on revenue, expenses, and restoration period. It's extremely cost-effective relative to the protection it provides.
Does this cover COVID-type closures?
Most standard policies exclude pandemic/virus-related closures. However, civil authority coverage may apply when government orders closure due to nearby physical damage. Policy language varies — we review your specific coverage.
Related coverage
Get a free quote or call (321) 206-8035.