When purchasing commercial insurance in Texas, it is important to remember that commercial property losses are not just of a physical nature.
Business income is also insurable when the coverage is added to a commercial property insurance policy.
Protecting your livelihood is as simple as discussing it with your commercial property insurance agency so they can advise you on how to add this important coverage to your policy.
What Is Business Income Insurance Coverage?
A business income endorsement or coverage is part of a commercial property insurance policy that pays benefits on lost business income.
Essentially, if your business suffers a covered loss and there is physical damage sufficient enough to prevent your business from operating, the business income coverage purchased from your commercial property insurance agency will pay to cover the income lost when your business was shut down.
This endorsement added to a standard policy could ultimately be what helps a company in addition to the insurance coverage for all sustained physical damage.
Why Add Business Income To A Commercial Insurance Policy?
When a company cannot function for an extended period to bring in income, there is a high chance of that company failing.
Commercial insurance with a business income endorsement is one way to keep that from happening.
Unpaid loans, unpaid employees, and the costs of being shut down for weeks or months after suffering physical damage due to a weather event or some other disaster can be the nail in the proverbial coffin that causes a company to shutter for good.
With this benefit added to a commercial property insurance policy, business owners can use those payments to retain employees during the restoration period, keep company bills from going into default, and basically keep functioning until restoration is completed and your business can return to a regular work schedule.
Who Should Buy Business Income Coverage?
A business income endorsement purchased from a commercial insurance agency can be a lifesaver for businesses large or small, depending on the risk level present.
Companies in regions where natural disasters are common are those that can benefit the most from this added coverage, since the chance of suffering a loss is the highest.
This coverage is also recommended for companies with high amounts of debt that need to have a steady income flowing in to pay bills as well as for any business that cannot survive an extended period with no income.
In the grand scheme of things, for the relatively low price paid to add business income to a commercial insurance policy, it is inexpensive protection that could save your business should the unexpected happen.
Add Business Income for More Complete Coverage
No matter what kind of company you run in Texas, protecting it with the right commercial property insurance is critical.
For many companies, part of that commercial insurance coverage should be Business Income which can help keep a business afloat even after suffering a major physical loss to the building or equipment.
This is especially true considering the severe and unpredictable weather this area has recently faced and how easily it can affect a business.
Discuss needs with an experienced representative at a commercial property insurance agency and purchase adequate supplemental coverage that can pay a lost income benefit in the event it becomes necessary and keep the company in the black until income can be naturally generated once again!
