A substantial amount of your money is likely to be tied up in physical assets such as buildings, stock and machinery; even the cost of signage and office furniture can add up. But it’s not just about the cost of repairing buildings and replacing stock. It’s also about being able to survive the financial losses that inevitably follow – paying wages during downtime; outsourcing; securing alternative premises; lost profits whilst production is down.
Material Damage & Business Interruption insurance offers integrated protection designed to ensure you do survive a major loss. The policy comprises two parts:
Protects buildings, plant, contents, stock and other specified property against physical damage, which is ‘unintended and unforeseen’. As well as covering the obvious business assets such as buildings, furniture, computers and stock, it can also include many valuable extensions to cover including:
- money (including whilst in transit)
- rewards (protecting or recovering insured property)
- stock temporarily removed (including whilst in transit)
- employees’ tools
- refrigerated goods
- seasonal stock increases.
Following a Material Damage claim, ‘Business Interruption’ will protect your gross profit during the time it takes to rebuild your business. Cover can include:
- reduction in turnover
- increased costs of working
- fixed costs such as rates and rent
- loss of rental income
- professional fees for claims preparation.