“Business interruption insurance covers two areas–the loss of income due to a natural disaster and the extra expense associated with operating during that time of rebuilding,†says Brian Smith, InsuranceEdge advisor to American Express Open.
In most cases, business interruption insurance is sold as part of a business owner’s policy (bop) or property insurance.  “A lot of people may actually have it and not know it,†says Smith. “The business owner’s policy is a very broad-based policy for business owners who are smaller but need comprehensive coverage.â€
To find out if you have business interruption insurance, contact your insurance agent.
Overall, small business owners should be aware of what is covered in their property or business owner’s policy. If you’re not, use this time to understand the fine points of your policies. Don’t be discouraged by the hefty stack of papers, a quick glance at your Declarations Page will give you a synopsis of your coverage.“When [you] look at the Declarations Page, there will be a line in there that says “business income.†If [you] have [business interruption] coverage it’ll say “extra expenses,†explains Smith.
To file a claim, owners need to provide past financial record of the business.
For more on preparing your business for disaster, check out