Business Interruption Insurance Sunshine Coast

Are you a Sunshine Coast business looking to protect your future with Business Interruption Insurance?

Experts in Business Interruption Insurance

At Crucial Insurance, we’re here to help. Based in the Sunshine Coast, we assist businesses of all shapes and sizes protect their future profitability in the event of major losses.

In an uncertain market, it is crucial that you’re protected with the right cover. Choosing an unsuitable policy could lead to unnecessary stress and worse yet, the wrong cover when needed most.

As every business is unique, we’ll work with you to find insurance solutions suited to your needs.

What is Business Interruption insurance?

It’s crucial that where possible, you're covered against any event which could lead to a sudden and unforeseen reduction in your profit.

In essence, Business Interruption Insurance protects your business against unforeseen loss of profits.

The main types of insurance policies offering this form of protection include:

Property Insurance including Business Pack, Property Owners and Industrial Special Risks

Equipment Breakdown Insurance

Product Recall / Contamination Insurance

If the above types of insurance are not applicable to your current situation, Business Interruption Insurance may also be purchased on a stand-alone basis.

The importance of Business Interruption Insurance for your Sunshine Coast business

Whether you’re based in Beerburrum or Noosa Heads or anywhere in between - in the event of a major disruption to your Sunshine Coast business, how long could your business survive?

Business Interruption Insurance is designed to keep your business going so it can rebuild and recover to the same position you enjoyed prior to the loss occurring.

The type of events which can lead to a significant loss of income can arise from:

Property related events such as Fire and Storm

Cyber events such as Ransomware, Denial of Service attacks and the like

Product Recalls where the loss of profits, recall costs and crisis management fees can be crippling

Equipment Breakdown where critical machinery can take months to be replaced or repaired

What is covered?

The following forms of cover can be incorporated into the design of your Business Interruption Insurance policy:

Loss of Gross Profit / Income

Rental Income

Accountants Fees incurred in preparing a claim


Severance Pay

Additional expenses you incur to reduce your loss or maintain your normal business operation or services.

Cover for customers and suppliers

It is also possible to extend your cover during events that affect your customers’ and/or suppliers’ premises. For example, if a major supplier’s factory burnt down and you suffered a reduction in gross profit as a result, you can extend your Business Interruption Insurance to include their premises as well.

One common mistake is not properly considering the amount of time it will take your business to fully recover from a major loss such as a factory fire. Most businesses will elect to insure their loss of income / profits for a period of 12 months; however, it is very unlikely a business will be back up and running within this time frame.

As a Sunshine Coast business, you can elect to insure business interruption up to a 24/36-month indemnity period. When designing your business interruption insurance protection it's crucial you invest the time in properly assessing how long it would take your business to fully recover from a major loss event.

What's not covered?

Business Interruption Insurance does not cover:

A loss of gross profit caused by a downturn in trading conditions

Your future financial loss if you decide to close your business after a major loss

Bankruptcy or insolvency

Loss of revenue caused by intentional damage

Business Interruption insurance is generally subject to under-insurance conditions. This means that if you do not insure for 100% of your insurable gross profit, you will be penalised by the amount you have under-insured.

For example, if you have $1,000,000 in gross profit but you only insure for $500,000, then you will be assessed at being 50% underinsured. This could mean that your sum insured of $500,000 will be penalised by 50% meaning in a total loss situation you would only receive half of your sum insured being $250,000. For a business generating $1,000,000 in Insurable Gross Profit, a $250,000 payout would be considered insufficient to see the business recover from a major loss.

For this reason, it is crucial that business owners consult with a business interruption insurance expert who can assist with approved business interruption calculators which ensure you will be insured for the full amount.


Why choose Crucial Insurance for Business Interruption Insurance

At Crucial Insurance, we prioritise ethics over profits. One of the benefits of choosing a business insurance broker such as us is that we genuinely have the best intentions for our clients, and go above and above to help them with their insurance needs. We work to protect our client’s businesses as if they were our own.

With an office in Sunshine Coast, we know the ins and outs of the area and understand the unique local challenges you may face.

Although we are locally based, we have also served clients both nationally and internationally, giving key insights into the insurance industry that other local brokers may not have.

Business Interruption Insurance Sunshine Coast: get a quote today!