Training / Workshop
Understanding Business Interruption (BI) Insurance Clauses and their application in the event of a claim
POLICY SCHEDULE
Item 1 Gross Profit
Item 2 Professional Fees Clause
Item 3 Additional Increased Cost of Working (AICoW)
Average Relief Clause 85%
USD 250,000
USD 5,000
USD 50,000
Period of Insurance
Maximum Indemnity Period
Time Excess
1 Jan 2020 – 31 Dec 2020
12 months
3 days
INCOME STATEMENT / BALANCE SHEET YEAR 2019
Sales
Closing Stocks
Purchases
Opening Stocks
Gross Profit
USD 384,096
USD 14,000
USD 64,500
USD 34,000
……………
PROFIT & LOSS ACCOUNT YEAR 2019
Power
Maintenance
Advertising
Depreciation
Vehicle Expenses
Insurance
Accounting Fees
Rent
Telephone
Interest and Bank Fees
Wages
General Expenses
Net Profit
Total
5,000 Gross Profit
2,500
12,000
2,000
2,000
2,500
1,000
52,000
3,000
1,000
69,500
1,000
……………..
…………….. Total
……...........
……………
CLAIM SCENARIO
A Restaurant, on 1 October 2020, a fire started in the kitchen of the restaurant, causing extensive
damage to the kitchen and one side of dining area. As a result of the damage to the kitchen the
restaurant was entirely closed for six weeks. No vacant restaurants in the area were available for short
term rental.
for any inquiry please call/wa Imam Musjab at +628128079130 or email : info@ahliasuransi.com or visit : ahliasuransi.com
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The restaurant reopened on 14 November 2020. All damage was reinstated by 05 December 2020.
After spending an additional costs $10,000 for rent of generators set and overtime works, and
additional $6,000 for advertising to advise clients that the restaurant was reopening, The Insured
determined that the business had returned to pre-loss trading conditions by 31 January 2021.
Savings for electricity, rent abatement, and others costs at $7,500 during period of restaurant closed.
HISTORICAL TRADING FIGURES / INFORMATION
2018/2019
2019/2020
2020/2021
October
23,235
25,312
0
November
24,669
27,236
11,658
December
26,541
28,954
23,014
January
23,659
26,549
31,459
February
27,894
31,023
March
32,045
36,598
April
24,601
29,410
May
23,899
28,501
June
27,569
30,012
July
31,259
33,256
August
37,522
42,210
September
40,235
45,035
343,128
384,096
10%
12%
Total
Growth
66,131
ADJUSTMENT OF CLAIM
Please calculate Business Interruption (BI) claim based on above figures and scenarios.
About Ahliasuransi Learning Center (AALC)
Ahliasuransi Learning Center (AALC) is passioned in developing can-do people, technical know-how and management of insurance
practitioners in Indonesia with specialist insurance training. It is managed by a group of fellow of insurance specialist, experts, and
practitioners with extensive experience in underwriting and claim, sharing experience and discussion on current market updates are
of our passionates.
Ahliasuransi Learning Center (AALC) berdedikasi untuk mengembangkan kemampuan teknik dan manajerial insan perasuransian di
Indonesia dengan “Specialist Insurance Training” yang dimotori oleh para ahli asuransi umum, praktisi berpengalaman dalam
underwriting dan klaim, dan kemampuan fasilitator dalam berbagi pengalaman dan berdiskusi mengenai kondisi pasar ter-update
yang tidak diragukan lagi.
Tel : +628128079130 e : info@ahliasuransi.com web : ahliasuransi.com
Ahliasuransi is a registered trade mark ®
for any inquiry please call/wa Imam Musjab at +628128079130 or email : info@ahliasuransi.com or visit : ahliasuransi.com
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