When considering how to best insure your business, the tendency of any business owner is to protect their company. That’s obvious. Property, Business Automobile, and General Liability are just some of the coverages at the front of everyone’s mind, but consider this: someone else’s loss could potentially put you out of business.
The Problem: Third-Party Business Interruption
If your business relies on a third-party provider for a critical part, service, etc. and they suffer a loss, so can you. If there’s an interruption to that vendor or supplier, you may be forced to stop working as a result. Worse yet, what if they are your sole provider and don’t recover from their loss? The result could be catastrophic for you.
The Solution: Enterprise Risk Management
Enterprise Risk Management is used to determine risks, losses, events, etc. that can affect the very existence of your operation. Once you have identified the likelihood and impact of such an event, you can apply not only business strategy, but sound, relevant insurance coverage to prevent that event from potentially devastating your operation by working with your insurance provider to cover that risk.
Can a loss from a third party affect you? Absolutely.
Can you prevent this from causing you a major loss or worse? Absolutely.
Contingent Business Income could be the coverage that stands between you and losing everything. Contact us today to learn more.