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Might Lightning Strike Your Bottom Line?

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Lightning from the big storm strikes Sam's machine shop and completely fries a $200,000 machine. Here’s the good news: Insurance to replace the damaged piece of equipment covers lightning, so he’s able to replace the machine. Unfortunately, Sam’s supplier predicts it will be a month before it can get the new unit to him. He can’t work without it, and, after shopping around, he discovers the cost to rent a temporary replacement is $500 per day.

Here's the really bad news: Sam does not have business income and extra expense insurance.

Why is this bad news? He has to make a choice: close the shop or pay $500 per day for a month. Both options result in lost dollars that would have been covered by a business income and extra expense policy, but since Sam chose to forgo this valuable coverage, he will have to pay those costs himself. Sam just suffered more lightning damage – this time to his pocket and bottom line.

For more information on this important coverage and how it can help keep your business running after a loss, contact your insurance agent today.

©2013 Selective Ins. Group, Inc. (Branchville, NJ). "Selective" insurers include Selective Ins. Co. of America, Selective Ins. Co. of New England, Selective Ins. Co. of N.Y., Selective Ins. Co. of South Carolina, Selective Ins. Co. of the Southeast, Selective Way Ins. Co., Selective Cas. Ins. Co, Selective Fire and Cas. Ins. Co and Selective Auto Ins. Co. of N.J. Insurers and products available vary by jurisdiction.