What it does
Like CP 15 08, CP 15 09 pays business income loss from a suspension caused by covered direct physical loss at the premises of a scheduled "dependent property": contributing, recipient, manufacturing or leader locations. The difference is the limits. Each dependent property type has its own Limit of Insurance in the Schedule, separate from the business income limit that applies to the insured's own premises.
Key provisions
- Optional secondary contributing and secondary recipient locations (not named) are covered within the scheduled limits.
- Miscellaneous Locations additional coverage: business income from damage at a dependent property not described in the Schedule, limited to .03% of the sum of all scheduled limits for each day of suspension from any one location, within those limits. Roads, bridges, tunnels, waterways, airfields and pipelines are not miscellaneous locations.
- No coverage when the only damage at a dependent property is to electronic data.
Quoting and selling notes
- Use it when the insurer will not extend the full business income limit to dependencies, or when the client wants a defined amount for a particular supplier or customer.
- Size each limit from the profit the dependent relationship generates and how long it would take to replace the supplier or customer.
- For dependent properties outside the policy territory, see CP 15 01. For extra expense from dependent properties, see CP 15 34.
