When Another Business' Loss Affects Your Practice

If a nearby business suffers a loss, can it affect your practice? The answer is yes, it may ... even if your practice is not physically harmed.

Consider the following scenarios:

  1. There is a fire at the business next door, or even a couple of buildings down, and the fire or police department blocks off the street prohibiting access to your practice.
  2. The business next door is robbed or vandalized. The police have barricaded the area, which means patients can't get to your practice.
  3. Construction in the area causes a water main to break. The city must shut the water off for several days while they repair the break. You have to close your practice for several days.

In these examples, the incidents wouldn't directly affect your ability to conduct business; your practice was not physically harmed. But because a civil authority prohibited access to your practice, you would incur a loss of business income and possibly extra expenses.

The good news is, most Business Owners insurance policies cover these kinds of loss for a certain length of time under Civil Authority coverage. The loss to the other business must be the result of an event covered by your policy.

NCMIC Insurance Services is ready to help you learn more about Civil Authority coverage. Simply call 1-800-769-2000, ext. 8180 today.

If you already have Business Owners insurance, we can help you determine if it includes Civil Authority coverage. If you don't currently have Business Owners insurance, we can discuss your options and help you get this valuable protection in place.

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