What happens if you can't trade for weeks?
Business Interruption insurance covers lost revenue when insured events stop you from operating. Here’s when you need it, what it covers, and whether it’s worth the cost.
What is Business Interruption insurance?
Business Interruption (BI) covers lost income and ongoing expenses if you can’t trade due to an insured event, fire, flood, storm damage, theft, or other covered incidents.
The concept — if a fire destroys your cafe and you can’t trade for 3 months, BI pays you as if you were still trading, covering lost income and keeping your business alive while you rebuild.
When do you need Business Interruption insurance?
If you can’t afford to go without revenue for 3-6 months while still paying rent and staff, you need BI.
How Business Interruption insurance works
- Your annual revenue — $500K
- Your fixed annual costs (rent, salaries) — $200K
- Your sum insured for 12 months BI — $700K
If you can’t trade for 6 months, BI pays $350,000 (6 months of revenue plus costs).
This is an example only and payouts are dependent on specific cover and circumstances.
Should you add Business Interruption cover?
We’ll help you assess whether BI makes sense for your situation. 1300 475 092
Common questions
Can I claim if I voluntarily close due to nearby construction?
What if I can partially trade from another location?
Does BI cover cyber incidents that shut down my systems?
How do I prove my lost revenue?
What happens next
As your business matures, the focus shifts from adapting to protecting what you’ve built. More established operations, steadier revenue, and a lower tolerance for risk. That’s when you move from Scale Strong to Stay Protected.