Case Study

Linda is the owner of a small office supplies business – with eight staff on the payroll and numerous suppliers.

Late one night, the restaurant next door catches fire and it spreads to her business premises – destroying the property along with the stock and IT systems. She’s unable to open the shop for weeks while the building is being repaired. Because the business isn’t operating, she’s not making any money – meanwhile the bills are piling up.

But with Business interruption insurance, Linda banks an insurance payment – maintaining her cash flow at pre-interruption level. Linda can continue paying her staff their regular wages, so they keep their jobs, and rents a temporary location so the store can keep running.