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Insurance adjusters will usually assist business owners in evaluating their claim and fully explain the steps to be taken. Until meeting with the adjuster, continue to conduct your operations as normally as possible, making business decisions as if you have no insurance. Insurance assists businesses in recovering from the loss.

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Insurance adjusters will usually assist business owners in evaluating their claim and fully explain the steps to be taken. Until meeting with the adjuster, continue to conduct your operations as normally as possible, making business decisions as if you have no insurance. Insurance assists businesses in recovering from the loss. Focus on keeping the doors open and the impaired business functioning, not on what the insurance policy will provide. Our expert here lists a number of things you can do to help the adjuster expedite the claim.

1. Immediately inspect the loss

Immediately inspect the loss to determine the extent of the damage, taking steps to salvage damaged property (professional salvage firms may be able to assist with this task), and prepare a list of the steps required to promptly resume operations on a full-time, or even a part-time, basis.

2. Contact the insurance agent or broker

Contact the insurance agent or broker to report the loss to the insurance company so an adjuster may be assigned.

3. Review your insurance policy

Review your insurance policy to verify coverages. The adjuster will help you review the policy, if necessary.

4. Have a copy of your operating statement or income tax return and sales records

Have a copy of the most recent operating statement or income tax return and sales records available for the adjuster to calculate the loss. Subject to policy terms and exclusions, business interruption insurance is specifically written to replace the income the business would have provided had operations not been interrupted. This is usually based on the business’ financial history, as well as other local and economic factors.

5. Close out the books as of the date of the loss and maintain records 

Close out the books as of the date of the loss and maintain an accurate separate record of the operating expenses that continue during this period. Remember, the adjuster will need to verify these expenses as part of the claim process.

6. Maintain accurate expense records

Maintain accurate expense records for extra expenses incurred to expedite the resumption of operations.

7. Record any communications received 

Record any communications received regarding an order to evacuate. How did the business get the word? A written order? A verbal order? Someone heard it on the radio? Save any written orders or fliers received to document the claim.

8. Document activities

If the business interruption involves the loss of electrical power, document, to the best of your knowledge, when it went off and when it was restored. If any written information was received regarding the power interruption, be sure to save it as documentation for the claim.

Source: The International Warehouse Logistics Association (www.iwla.com). Contact them at IWLA, 2800 S. River Road, Suite 260, Des Plaines, IL 60018; 847-813-4699; email@iwla.com.