Delaware Business Insurance Update, by CNC Insurance Associates Inc. , The Forgotten Coverage, Business Income 7-26-13

In my meeting with business owners, the discussion of loss of income usually comes up. It starts out with a simple question such as this, "How are you going to make income if you lose your store..."? From this point on most business owners will tell me they have friend in the construction business and as soon as they get their claim check from the insurance company they can rebuild in a few months. No sweat, they would only have a short period of  down time and income loss to deal with.
This is where a reality check is needed. Unfortunately most business owners think this way but it never happens like that. Most businesses that suffer a devastating loss to their property don't get back in business for 8-10 months, and sometimes even years. The loss of income forces them to lay off key employees, deplete cash , lose vendor relationships, lose customer relationships, and go out of business. This can all be prevented by buying insurance coverage for business interruption or loss of income. This coverage is forgotten and not thought about much. It is however as important as covering your building and contents. The coverage will keep your net income intact. It replaces the cash flow you would have had if your normal operations were not disrupted. It can be a life saver for any business. I would recommend that all business owners discuss loss of income coverage with their insurance professional today. Don't wait, your business depends on it.
Until next time be careful out there and know your risks.

G. Kevin Nemith President CNC Insurance Associates Inc.
Serving DE, MD, NJ, PA, & NJ
www.cncinsurance.com
www.bizinsurancetv.org

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