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Commercial Insurance

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Service Interruption

Service interruption refers to a temporary loss of essential services due to an incident, such as a cyber attack, system failure, or provider outage. Insurance coverage typically activates after specified waiting periods and compensates for lost income and extra expenses incurred to maintain operations. Understanding how the policy defines "interruption" and keeping detailed financial records ensures successful claims when service disruptions occur. Coverage requires evidence of financial loss, which often requires assessment of historical income, along with extra expenses incurred like overtime, temporary solutions, or expedited repairs.

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Service interruption refers to a temporary loss of essential services due to an incident, such as a cyber attack, system failure, or provider outage. Insurance coverage typically activates after specified waiting periods and compensates for lost income and extra expenses incurred to maintain operations. Understanding how the policy defines "interruption" and keeping detailed financial records ensures successful claims when service disruptions occur. Coverage requires evidence of financial loss, which often requires assessment of historical income, along with extra expenses incurred like overtime, temporary solutions, or expedited repairs.

Related Term

All Category

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