Your business continues to incur expenses even on days when it doesn’t open its doors. You will consume a small amount of utilities even when not open for business. You also have the expenses for rent, to say nothing of employee salaries.
When your business has to close unexpectedly, such as in the aftermath of a hurricane, business interruption insurance can help protect your company and the people who work for it. Can you make a business interruption claim if you have faced an extended utilities outage following a major storm?
Businesses can plan for utility outages
Losing electricity means that you can’t operate cash registers or illuminate the aisles of a retail store. However, many businesses can and do continue to work even when the local power infrastructure fails.
Generators are considered important business tools by many, as they can help a company continue operating even if there are local issues with the electrical supply. Given that businesses can typically find ways to generate their own electricity, just a power outage likely won’t be enough for a business interruption claim for your company.
There need to be factors that prevent you from opening
Typically, business interruption insurance claims require that there be something wrong with your facilities that prevent you from being open. Lack of utilities might not be grounds for a claim, but a lightning strike that fries the wires inside your building would be.
If your business or the area around it suffered such severe damage during the hurricane that roads are impassable or the nearby area is not safe for people to travel, then you may qualify for business interruption insurance. The same is true for circumstances in which your business is inaccessible or cannot open because of damage to the business itself or the property on which it stands.
The more unusual the circumstances that give rise to a business interruption insurance claim, the more documentation you may need in order to get the coverage that you require for your company. An experienced attorney may be able to help you get the insurance coverage to which you’re entitled.