Business Interruption Insurance Payout Forecaster

Blend monthly revenue loss, indemnity duration, stated policy limits, and any waiting-period or coinsurance penalties to forecast the net check your carrier could issue after a covered shutdown.

Gross revenue you expect to forfeit each month of the outage before recoveries or extra-expense reimbursements apply.
Projected duration of the disruption expressed in months, including any rebuild or ramp-up window.
Total business income limit shown on your declarations page for the covered location or blanket coverage.
Optional. Leave blank if no waiting-period gap is expected—the calculator defaults to $0 uncovered loss.
Optional. Enter the insured share (e.g., 80 for an 80/20 clause); blank defaults to 100% insurer participation.

Educational information, not insurance advice.

Examples

  • Monthly loss of $250,000.00 for 4.0 months, $1,000,000.00 limit, $100,000.00 waiting-period loss, 100.00% coinsurance ⇒ Result: $900,000.00 reimbursed
  • Monthly loss of $200,000.00 for 6.0 months, $900,000.00 limit, $50,000.00 deductible, 80.00% coinsurance ⇒ Result: $680,000.00 reimbursed

FAQ

How do I include extra expense coverage?

If your policy reimburses extra expense separately, subtract those insured amounts from the monthly loss input so the calculator focuses on uncovered revenue exposure.

What if the downtime exceeds my indemnity period?

Extend the months field to the full outage. Any loss beyond the policy limit will appear as a gap between the payout and your projected revenue loss.

Can I model contingent business interruption?

Yes. Add supplier or customer-driven shortfalls to the monthly loss so the forecast reflects both direct and contingent exposure against the same limit.

How is coinsurance handled?

Enter the insurer’s coinsurance percentage. For an 80/20 clause, use 80 and the tool will multiply the post-deductible loss by 0.80.

Additional Information

  • Gross loss is calculated as the monthly revenue shortfall multiplied by the indemnity window before caps or penalties are applied.
  • Coinsurance requirements reduce the payout in proportion to the insurer’s share of risk after deductibles or waiting periods are deducted.
  • Enter deductible or waiting-period amounts as dollar losses rather than days so the model can subtract them directly from recoverable income.
  • Compare the output with your cash reserves or credit facilities to understand the liquidity buffer still required during recovery.

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