Calculating business income loss claims can be tricky. To achieve an accurate outcome, claim professionals must understand what makes a business tick and be comfortable working with business records. An added complexity is the inherent difference between accounting terms and insurance policy language, especially as they relate to business income terminology.
From an accounting perspective, business income loss calculations are dependent upon a number of factors. Even though these factors can be complicated to resolve, claim professionals can become more confident and more proficient in adjusting this type of claim by familiarizing themselves with four key elements: the period of restoration; sales projection; mitigation; and expense projection. A clear understanding of these elements and how they impact business income loss calculations will go a long way towards the efficient resolution of these losses.
Restoring Order
Recommended For You
Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader
Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
- Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
Already have an account? Sign In Now
© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
