What business interruption pays
BI replaces lost revenue when a covered event stops your operations. For a SaaS company that lives on recurring revenue, this can be existential.
Trigger events
A BI policy typically triggers on: fire, flood, malicious damage, breakdown of critical equipment, and — if added — cyber events and denial of access.
The indemnity period
Do not default to 12 months. Choose 18-24 months if replacing infrastructure or rehiring would take that long.
Gotchas for tech businesses
- Standard BI often excludes losses from a cyber event unless bundled with cyber cover
- Cloud outages usually need a separate service-provider dependency extension
- Revenue definition matters — annualised MRR vs booked revenue