A form of insurance policy covering the extra expense of an insured in carrying on a business following a loss by an insured peril.
Reimbursement for additional expenses incurred because of an insured loss. Separate policy or as an endorsement.
Pays for extra costs incurred to maintain operations after a loss. Business income insurance covers only lost profits and expenses necessary to prevent further loss. Extra expense insurance maintains operations regardless of the relation to profits.
Coverage for the additional costs, above normal expenses, to continue operating a business after an insured peril causes damage. This is distinguished from coverage for the expected income the business loses as a result of the occurrence. See also Business Interruption Insurance. Example: After their premises are destroyed by fire, a website design firm has to rent more expensive space and lease equipment to continue servicing their clients.
Provides for payment of extraordinary charges incurred in maintaining business operations following a loss caused by an insured peril.
Insurance providing the extra funds needed to continue a business without interruption following a covered property loss.
Type of business income insurance that covers the extra expenses incurred to continue operations after a loss has occurred.
A form that provides reimbursement to the insured for the extra expenses reasonably incurred to continue the operation of a business when the described property has been damaged by a peril covered by the contract. This insurance is normally used by businesses where continuity of operation, regardless of cost, is a necessity as, for example, any business that would permanently lose customers if there were any suspension of operations. The term Additional Living Expense Insurance is defined with regard to extra expenses incurred by individuals, and such coverage is a common feature of homeowner policies.
Coverage for exposures related to efforts to get a business damaged by an insured peril back to the position it would have been had no loss occurred.
Depending on an insured‚s requirements, this coverage may be purchased as a supplement to business income insurance, applying to expediting expenses that aid in quickly restoring the insured‚s operations after a covered loss; or it can be the primary coverage sustaining the extra cost of continuing doing business for those insureds who would find it extremely damaging to fail to meet customer commitments. Examples may include newspapers, dairies, etc.