Often, a Business Suffering a Loss from a Fire Will

question 5

Multiple Choice

Often, a business suffering a loss from a fire will have insurance to cover the property damage, but there will be nothing to cover the revenue losses the business suffers during the period it is closed down for repairs. What form of insurance will cover the latter issue?

• A) liability insurance
• B) disability insurance
• C) business interruption insurance
• D) property insurance
• E) professional liability insurance

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Definitions:

Transfer Payments

Payments made by the government to individuals without any expectation of a good or service being provided in return, such as pensions or welfare benefits.

Domestic Output

The overall valuation of all goods and services made within a country's territorial limits within a designated timeframe.

Governmental Purchases

Expenditures made by the government for goods and services that are directly used to provide public services or for government consumption.

Domestic Output

The complete total of the value of all outputs and services fashioned within a nation's borders across a defined time span.