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What Is Business Income Coverage?
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When your business suffers a loss over a period of time, business income coverage in Sacramento can help you recover that lost income. 

Business income coverages are those where the amount of income that is lost is connected to a certain period of time. Over time, business income coverage in Sacramento has evolved from a simple type of business interruption insurance to a wide variety of coverages that address the developing circumstances and needs of business owners. Here are a few things you have to know regarding business income coverage that helps make up for losses over a period of time for many small businesses.

Covered Physical Damage

In order to receive compensation for your business income loss, there must first be physical damage to the property. The damage must also interrupt the business’ operations, so if there is damage but the business can still operate, this insurance will remain dormant.

Period of Restoration

The loss continues for the time required to rebuild, this period is known as the “period of restoration.” It’s the theoretical period based on the best estimate on when the property will be rebuilt.  The time required to build a reasonably equivalent property in a reasonably equivalent location.

Losses and Business Income Coverage

For example, if your gas station burns down completely you will still likely be held responsible for expenses like rent and such. During this time of construction, your business will have its doors shut which means it will suffer financial losses. Business income coverage in Sacramento steps in to help your business stay afloat during the construction process of your business. It can help businesses pay for these expenses.

The only way you will be covered if a disaster strikes is to have commercial insurance in Sacramento, CA and surrounding areas. Contact Purves & Associates Insurance Services, serving Davis, Sacramento, and surrounding Northern California areas.