3 Factors That Determine Revenue Loss After a Fire
After A Fire, There Are Three Factors That Determine Revenue Loss.
After a major fire at your business in Wabash, WA, you are worried about getting back up and running. A fire is devastating in many ways, but especially financially. As a business owner, it's essential to keep your interruption insurance up to date to minimize your out-of-pocket expenses after a fire. Here are three factors that will determine how much revenue you might lose after a fire.
1. What Caused the Business Interruption?
If your building burned down, the cause of an interruption might seem obvious. However, it is possible to have a physical loss without interrupting your business. When shopping for insurance, make sure that you understand how "interruption" or "suspension" of business is defined. If you provide an exclusively online product, you'll need a different definition than a clothing retailer.
2. How Long Is Business Interrupted?
In the case of a clothing retailer that has lost its shop, the restoration period will factor in the amount of time it takes to repair the existing shop to its former glory. Of course, there can be many hiccups in a construction project, so it's important to work with a commercial fire restoration team that will give you a thorough project estimate before you file with your interruption insurance company.
3. Where Will You Go?
Fire restoration can be time-consuming, depending on the amount of damage. The restoration process involves cleaning, sterilizing, and repairing a building and its contents. Many insurances should cover a temporary location where you can do business while your site is rebuilt. Be clear with your provider about whether your new, temporary location is indeed temporary or if it is considered a permanent location, in which case your business suspension coverage will end.
Business interruption insurance provides a necessary safety net that will help you keep the lights on while you navigate repairs after a fire.