How would you approach BI for a customer whose business is struggling and their financials are showing losses from the prior and current year?
The Business Income definition is lost profit plus continuing expenses, or continuing expenses minus business loss. Businesses operating at a loss will only be paid their continuing expenses minus the amount of the operating loss. They will not be reimbursed for expenses higher than their income. It is a good idea in this case to review the financial status regularly to determine if the insurance limit needs to be adjusted.
