If a fire, burst pipe, or severe storm shuts your doors for weeks, the biggest loss often isn’t the building—it’s the income you can’t earn while you’re closed . Business interruption insurance (also called business income insurance ) is designed to replace income and help pay certain ongoing expenses when your operations are temporarily suspended after a covered property loss . It’s typically included as part of a commercial property policy or a Business Owner’s Policy (BOP), not purchased as a stand-alone policy. This page explains what business interruption insurance is, what has to happen for it to apply, what it usually covers (and doesn’t), and the most practical way to choose the right limits for your business. Business interruption is a critical portion of the coverage, cost and risk of the business insurance consideration. What is business interruption insurance? Business interruption insurance replaces lost income and helps cover certain ongoing expenses when your business can’t operate normally because of a covered property claim. Think of it as the coverage that helps you keep paying the bills that don’t stop—payroll, rent, loan payments, and other continuing costs—while you repair and reopen. What has to happen for coverage to apply? Most business interruption claims come down to four requirements: 1) A covered cause of loss Business income coverage typically follows your property coverage. If the underlying property claim is covered, business income may be available. If the property cause of loss isn’t covered (or is excluded), business income usually won’t apply. 2) Direct physical loss or damage (in most policies) In many common policy forms, business income is triggered when a covered event causes direct physical loss or damage at your described premises.