Which policy would cover the costs to relocate to a temporary facility after a covered loss?

Which policy would cover the costs to relocate to a temporary facility after a covered loss?

• A. Property Coverage Form
• B. General Liability Coverage Form
• C. Business Income Coverage Form
• D. Workers' Compensation

Answer: (C)

Relocation costs to keep a business running after a covered loss are addressed by coverage that focuses on getting the business back to its normal operations. The Business Income Coverage Form is designed to compensate for the income you would have earned and the extra expenses needed to resume operations after a covered peril, which includes costs to relocate to a temporary facility, rent space, move equipment, and set up in a temporary location so you can continue business as soon as possible. The property-only form mainly covers repairing or replacing damaged property and doesn’t automatically cover ongoing operating costs. General liability and workers’ compensation relate to third-party claims and employee injuries, not the business’s own interruption costs.

Relocation costs to keep a business running after a covered loss are addressed by coverage that focuses on getting the business back to its normal operations. The Business Income Coverage Form is designed to compensate for the income you would have earned and the extra expenses needed to resume operations after a covered peril, which includes costs to relocate to a temporary facility, rent space, move equipment, and set up in a temporary location so you can continue business as soon as possible. The property-only form mainly covers repairing or replacing damaged property and doesn’t automatically cover ongoing operating costs. General liability and workers’ compensation relate to third-party claims and employee injuries, not the business’s own interruption costs.