Business interruption insurance generally cannot be purchased as a stand-alone policy. Instead, it is one component of a broader business owner or commercial property policy.

Claims under business interruption insurance can cover things like:

• Lost profits
• Loan payments
• Relocation costs
• Rent or lease payments
• Taxes
• Employee wages

Before business interruption insurance can come into effect, a “covered peril” must occur. Examples of a covered peril may include a fire, flood, hurricane, tornado, or other natural disaster. Of course, it’s critical that you review your insurance policy to determine precisely which perils are covered.

Unless there is a distinct and demonstrable loss of the physical use of the business property, then it may be difficult, if not impossible, to make a claim under a business interruption insurance policy.