Business Interruption Claims After Flood Damage

If you have Business Interruption Insurance it is important to determine whether or not your insurance cover includes flood damage.

If covered, you will have a claim for the loss of profits suffered subject to the specific details and conditions of your policy and the indemnity period.

If records have been destroyed or damaged a reasonable basis of calculation of the loss of profits will be required supported by records which may be in Accountants offices or otherwise off site or computer backup.

As a guide, the following financial statements or records will be required to determine losses.

• Monthly Profit and Loss Statements for the 12 months preceding the flood
• Details and evidence of any trends of the business which require adjustment to the 12 months historical records including consideration of seasonable issues.
• Increased costs of working since the flood.
• Profit and Loss Statements prepared up to date.
• Payroll record for 12 months before the flood and up to date

Progress Claims

• It is quite normal for progress claims to be made until the losses continue which in some instances may extend beyond a year, subject to the policy.

Do you require assistance? We can provide initial advice on the preparation of your claim, and it is possible our costs are covered by your insurance policy.  Dolman Bateman are specialised forensic accountants with expertise in the preparation of Business Interruption Claims.