Question

In a commercial property policy, the Business Income Coverage Form provides indemnification to the policyholder for the loss of income during which of the following time frames?

A. From 72 hours after the initial damage until 72 hours before the business is up and running again
B. From the point of initial damage until the moment the business is up and running again
C. From the point of initial damage until 72 hours before the business is up and running again
The Business Income form covers a company's loss of income due to a covered loss for a period beginning 72 hours after the loss until the business is running again.
D. From 72 hours after the initial damage until the business is up and running again

Answer 1

The Business Income Coverage Form in a commercial property policy provides indemnification to the policyholder for the loss of income during a specific time frame: from 72 hours after the initial damage until the business is up and running again.

Step-by-step explanation:

The Business Income Coverage Form in a commercial property policy provides indemnification to the policyholder for the loss of income during a specific time frame. The correct answer is option D: From 72 hours after the initial damage until the business is up and running again.

During this time frame, the policyholder can receive compensation for the income they lose due to a covered loss. It starts 72 hours after the initial damage occurs and continues until the business is fully operational again.

For example, if a company's building is damaged and they are unable to operate for a week, the Business Income Coverage Form could help compensate the company for the lost income during that period of time.