Business interruption insurance is an essential component of your business

Business interruption insurance is one of the most misunderstood and overlooked business insurance policies because many business owners think that other business insurance policies will take care of everything if something goes wrong or their operations are interrupted by events such as floods or fires.  While there are many different situations when business interruption insurance in NZ will take care of,   the two most common are fire and flood. No one wants that their business is affected or interrupted by floods or fire, and when they do, they often mistakenly expect other policies to cover all the loses.

Business interruption insurance covers for the loss of income that a business suffers after a disaster such as closing a business, or the time to rebuild after a disaster.  It is quite different from material damage insurance. Business material damage insurance covers the physical damage to the premises. On the other hand, business interruption insurance in NZ provides cover for a reduction in your business income as a result of damage to the property caused by an insured event. It is crafted to put your business in the same financial position it would have been if no loss had incurred. Business interruption insurance is added on to a material damage insurance and is not sold as a stand-alone cover.

If you are a sensible business owner, you should get in touch with a professional insurance broker to learn more about business interruption insurance in NZ.  The professional will also help you if you want any other type of business insurance including employers liability insurance in NZ.