What To Do If Your Child Care Centre Burnt Down

What To Do If Your Child Care Centre Burnt Down
Business interruption insurance can provide the protection you need

What would you do if your business premises was completely or even partially destroyed or damaged?

How would you earn a living, continue to pay staff wages or pay the additional cost of finding and moving into a new premises. If you can't operate, even for a short period your income could walk out the door as parents are forced to find alternative care.

If you don't have the capital to cover all of these costs or don't want to use your hard earned savings, then business interruption insurance can provide this protection for you.

There are 3 sections to choose from. You can elect to take them all or only take the sections that suit your needs:

Childcare Loss of Gross Income Insurance
Protects your cash flow by covering lost income caused by loss or damage to property as per the Property Section of the policy wording. This cover provides you with the cash so that you can continue to pay:

wages to retain skilled staff
any other normal business expenses

all while no income or reduced income is being generated by your childcare service.

Additional Increased Cost of Working
Covers additional expenses incurred as a result of loss or damage to property as per the Property Section of the policy wording. Additional expenses may include:

costs associated with finding and setting up a new premises or costs associated with cleaning up after damage has occurred
overtime wages for staff if they are required to work additional hours to get the service up and running as quickly as possible eg weekend work to clean up after a severe storm or setup at the new premises
additional rent if the rent is higher at the new premises
moving costs to the new premises and then back to the old premises when it has been repaired or replaced

Claims Preparation Costs
Claims preparation costs, covers the cost, up to the nominated sum insured, of hiring professionals to manage the claim process on your behalf. The claim preparers negotiate with the insurer, arrange quotes and manage the whole claim process. If the damage requires you to set up in an alternative premises, they will help with this too so that you can get your service up and running as quickly as possible. Taking cover for claims preparation costs takes the pain out of the claim process.

Altiora Childcare has more than 20 years experience working with the childcare sector.

If you would like to work with an experienced and dedicated insurance partner that shares your passion for childcare, contact our childcare insurance team on: