Friday, August 16, 2013

California Business Interruption Insurance

Coverage for every movie production company

Business Interruption Coverage is part of commercial insurance policies. This coverage is most commonly found in Commercial Property Insurance Policies and Business Owner’s Policies (a package policy for small businesses, often referred to as a “BOP”). If you own a production, film, TV, media, or Entertainment Company, California Entertainment Business Interruption insurance should be part of your program. Remember John Hart Specializes in your industry. There are a number of important elements to Business Interruption Insurance:

  1.     .  Coverage is triggered by a covered loss; for example fire, wind, etc.
  2.     .  There is a waiting period that acts like a deductible.
  3.     .  Coverage is limited to lost net income, temporary relocation, and ongoing expenses such as payroll that enables businesses to continue paying employees rather than laying them off.
  4.     .  There is a time period for recovery, usually 12-18 months.

Extra Expense Insurance reimburses your company for expenses, over and above normal operating expenses, to avoid having to shut down during the restoration period. Usually, extra expenses will be paid if they help to decrease business interruption costs

Business Interruption Insurance can be as vital to the survival of your production firm, studio or company as Fire Insurance. Make sure your policy limits cover a sufficient amount of time to rebuild your business. It can take more time than anticipated after a major disaster to get your business functioning again. 

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