Extra Expense Insurance

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Extra Expense Insurance Extra expense insurance is a form of commercial insurance that pays for a policyholder's additional costs while recovering from a major disruption. A type of property insurance for extraordinary expenses related to business interruption such as a back-up generator in case of power failure. It provides cash to help you stay in business while your property is repaired or replaced. Businesses that provide continuous services that customers depend on seven days a week, such as data centers, and those that perform essential duties, like hospitals, are good candidates for extra expense insurance. Extra expense insurance kicks in after a business suffers property damage from a peril (or incident) its commercial property insurance covers. In that instance, extra expense coverage would pay for costs such as: -Moving your business to a temporary site while your main location is restored -Buying or leasing equipment for your temporary site -Paying employees overtime or hiring temporary workers during the transition Note: Extra expense insurance does not pay for the costs of repairing or replacing your damaged facility. That would be covered by your commercial property insurance. Extra expense coverage only applies to the extraordinary expenses that arise while you continue to operate during the repair or restoration process. There are multiple ways to purchase extra expense coverage: -As a separate insurance policy -As a rider to a commercial property insurance policy -In a package with business interruption insurance -As part of a business owner’s policy #benewinsurance #insurtech #inclusiveinsurance #insurance #reinsurance #takaful

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