Business interruption insurance is a form of insurance that covers financial losses caused by an unexpected disruption in a company’s operations. Business interruption insurance claims are prevalent in the United States following natural disasters, fires, and other unforeseen events that can affect a company’s ability to function. However, not all business interruption insurance policies are created equal. Business owners should carefully examine the terms and conditions of their policy to ensure they understand what is and is not covered. Filing a business interruption insurance claim can also be a complicated and time-consuming process that may necessitate the assistance of an experienced insurance expert.

There are several steps you must follow before filing a business interruption insurance claim. Here’s a checklist to help you get started.

Review Your Insurance Coverage

Examine your insurance policy thoroughly before submitting a claim to ensure you understand the coverage, limits, exclusions, and deductibles. It is critical to understand what damages and losses are protected, as well as how long the coverage will last. An experienced public adjuster can assist with reviewing your policy and answer many questions you may have.

Record the Damage

Document all damage to your property and operations, including pictures, videos, receipts, and invoices, to support your claim. Maintain meticulous records of all expenditures incurred as a result of the disruption, such as repairs, rentals, salaries, and lost revenue. This data will assist you in calculating the amount of your claim and proving your losses to the insurance company.

Inform Your Insurance Provider

It is best to contact an experienced public adjuster to review the facts of your loss first before notifying your insurance provider of the damage and your intention to file a claim. Follow their directions and provide all required documentation and information for them to review.  

Reduce the Impact

Take reasonable measures to mitigate the harm and avoid additional losses. This could entail securing the property, cleaning up trash, or moving to a temporary location. Keep note of all the costs and efforts you make to mitigate the effects of the interruption.

Work Together with the Insurance Provider

Once your claims process has been initiated by you and your public adjuster, it is important that you completely cooperate with the insurance provider and their adjusters. Allow them access to your property and operations, and respond to their inquiries honestly and accurately. Maintain a record of all conversations and interactions with the insurance provider.

Hire a Public Adjuster

Consider hiring a public adjuster if you are feeling overwhelmed or uncertain about the claim process. Public adjusters assist policyholders in navigating the complex insurance claim process and negotiating a reasonable settlement. They can also assist you in documenting and quantifying your losses, as well as providing expert guidance.

Be Willing to Negotiate

The insurance company may give you a settlement that is less than your initial claim or expectations. Hiring an experienced and licensed public adjuster to negotiate the offer and assist with additional evidence or arguments that will backup your claim. If you and the insurance company are unable to reach an agreement, there are other options that a public adjuster can assist you in maximizing your claim.