Houston Business Interruption Insurance Claims

(832) 945-1900
Houston, Texas Business Interruption Insurance Claim Lawyers

How to Protect Your Business Against Unexpected Losses

Blue background with the image of a padlock and the words "protect your business"

Running a business is a challenging feat. There are countless challenges that business owners face every day, from managing finances and employees to ensuring customer satisfaction. However, one of the most significant risks that businesses face is the possibility of an unexpected interruption. Whether it's due to natural disasters, accidents, or other unforeseeable events, an interruption in business operations can devastate a company's bottom line. That's where Business Interruption Insurance comes in. In this article, we'll explore what Business Interruption Insurance is, how it works, and why it's an essential part of any business owner's risk management plan.

What is Business Interruption Insurance?

What is business interruption insurance?

Business Interruption Insurance is a type of insurance that provides coverage for lost income and other expenses incurred by a business as a result of an unexpected interruption in operations. This interruption could be caused by a variety of events, including:

  • Natural disasters such as hurricanes, earthquakes, or floods
  • Fire, theft, or other accidents that damage business property
  • Civil unrest or political instability
  • Utility outages, such as power or water supply disruptions

Business Interruption Insurance is designed to help businesses recover from these interruptions by providing financial support during the recovery period. This can include coverage for lost income, rent or mortgage payments, employee salaries, and other expenses necessary to keep the business running.

Our Property Insurance Lawyers Have 5-Star Reviews on Google

Read our 5-star Google reviews

How Does Business Interruption Insurance Work?

Business Interruption Insurance provides coverage for the income and expenses a business would have earned or incurred if the interruption had not occurred. This coverage typically begins after a waiting period specified in the insurance policy and can continue for a specified period, such as six months or a year.

To claim Business Interruption Insurance, a business owner must provide evidence of the loss of income or expenses incurred due to the interruption. This may include financial statements, tax returns, and other documentation demonstrating the interruption's impact on the business.

Once a claim is approved, the insurance company typically provides financial support to cover the lost income and expenses up to the policy limit. This can be a crucial lifeline for businesses struggling to recover from an unexpected interruption and may need more financial resources to continue operating without assistance.

Image of a cityscape with a blue overlay and a picture of Houston attorney Cedrick D. Forrest. The words "need help with your claim, talk to a lawyer for free" are overlaid.

Why Is Business Interruption Insurance Important?

Business Interruption Insurance is an essential part of any business owner's risk management plan for several reasons:

  • It provides financial support during an unexpected interruption, helping businesses stay afloat during a difficult time.
  • It can help businesses recover more quickly from an interruption, as they have the resources to continue operating while they work to repair or replace damaged property and equipment.
  • It can protect a business from financial ruin in a catastrophic event that could otherwise result in bankruptcy or closure.

Business Interruption Insurance is vital to any business owner's risk management plan. It provides essential financial support during unexpected interruptions, helping businesses stay afloat and recover more quickly from these events. By carefully considering their coverage limit and working with a trusted insurance provider, business owners can ensure they have the support they need to protect their businesses against unexpected losses. Don't wait until it's too late to protect your business – consider Business Interruption Insurance today.

No Recovery. No Fee.

Our firm works on a 100% contingency fee basis for your insurance claim.

That means that when a case is taken on, we use our own money and resources to fight for clients. We will investigate, go to court, hire experts, and do whatever is necessary to win your case. We will never ask for any money upfront for contingency matters. No money is owed by the client to us if no monetary recovery is made. That is our promise.

FREE Consultation. Easy Sign-Up.

Having your insurance claim denied by the insurance company and navigating the dispute process can be stressful and confusing. Insurance companies count on you not understanding your rights and not seeking legal help. That's why we have made it as easy as possible to get your questions answered. Click the contact button to speak with an available attorney. It's fast, simple, and the first step to getting maximum compensation. We also offer no-contact video consultations.

Frequently Asked Questions About Business Interruption Insurance

Is Business Interruption Insurance included in my general liability insurance policy?

No, Business Interruption Insurance is a separate type of coverage typically added as an endorsement to a commercial property insurance policy.

How is the waiting period determined for Business Interruption Insurance?

The insurance policy typically specifies the waiting period, ranging from a few days to several weeks. The longer the waiting period, the lower the premium for the insurance policy is likely to be.

How is the coverage limit determined for Business Interruption Insurance?

The coverage limit for Business Interruption Insurance is typically based on the business's expected revenue and expenses during the interruption period. It's essential for business owners to carefully consider their coverage limit when purchasing this insurance to ensure that they have adequate financial support in the event of an unexpected interruption.

What types of expenses are typically covered by Business Interruption Insurance?

Business Interruption Insurance can provide coverage for a wide range of expenses that a business may incur during an interruption, including:

- Lost income

- Rent or mortgage payments

- Utilities and other ongoing expenses

- Salaries for employees

- Expenses related to temporary relocation or business continuity planning

Are there any exclusions or limitations to Business Interruption Insurance coverage?

Yes, there are typically exclusions and limitations to Business Interruption Insurance coverage outlined in the insurance policy. For example, the scope may be limited to interruptions caused by specific events, such as natural disasters or accidents. It may not cover interruptions caused by particular political or social unrest types.

Begin Your Case

Schedule a Free Consultation

Contact Us Today

The Cedrick D. Forrest Law Firm is committed to answering your questions about Property Insurance and Personal Injury law issues in Texas. We offer Free Consultations and we'll gladly discuss your case with you at your convenience. Contact us today to schedule an appointment.