Commercial Building Owners and Tenants Loss of Income
When a tenant claims loss of income – because of a driving band in winter weather, there is no coverage for loss of income, if no loss has occurred to the building. Some municipalities will put in effect a driving band, when bad weather is on it’s way (But not maybe here yet). This does not constitute any “loss of income”, as described in a business insurance policy.
If the power goes out and they have “off premises” power failure coverage, then loss of income would be covered. Or if there is some building damage, where customer’s cannot enter the building due to safety concerns, there will be loss of income coverage. Or if the roof has leaked and the water damage causes a loss of business, then loss of income kicks in.
Loss of income isn’t a “stand alone” coverage that an insured can use – it must be connected to some other occurrence for this to coverage to be in effect. As I stated previously, this coverage is tripped by a property loss of some kind.
Tom Larsen, Larsen Insurance Agency