An important coverage needed by a business owner to survive an extended interruption in operations of a business due to a covered loss is business income and extra expense. Business Income coverage compensates you for lost revenue until operations resume (subject to policy deductable and limits). This is calculated by looking at your prior years of income and expense records. It is critical that you keep copies of this information away from the insured premises with your business emergency plan. Without readily available documentation, reimbursement could be delayed as there would be no basis for a settlement. Most Business Owner’s (BOP’s) Policies will pay you on an actual loss basis for a period up to 12 months, while other policies have fixed maximum reimbursement limits of compensation for those items included in the loss such as loans, taxes and ongoing operating expenses etc.