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Business Income & Loss of Rents

Business income (loss of rents) coverage replaces the rental revenue you lose when a covered property loss — fire, storm, or other peril — makes units unrentable while you rebuild. It also pays the extra expenses of getting back to operation.

Business Income & Loss of Rents for Self-Storage

When a fire or windstorm damages a building, the repair bill is only half the loss. The other half is the rental income you can't collect while those units sit empty and under construction — income that still has to cover your mortgage, taxes, payroll, and operating costs. Business income (loss of rents) coverage replaces that lost revenue during the restoration period.

For a self-storage operator, this coverage is the difference between weathering a major loss and defaulting on the facility. It pays based on the rents you would have earned, typically for the time it reasonably takes to repair and re-rent the affected units, subject to your policy's restoration period and any waiting period.

Extra Expense — Getting Back Online Faster

Paired with business income, extra expense coverage pays the added costs of minimizing downtime — temporary fencing and security, expedited repairs, a temporary office, or relocating tenants within the facility. Together they keep a covered property loss from snowballing into a cash-flow crisis. We size the limit to your monthly rent roll and realistic rebuild timelines.

What's Covered

Lost rental income (loss of rents)
Continuing expenses & debt service
Extra expense to resume operations
Restoration-period coverage
Civil authority access loss
Limits matched to your rent roll

Frequently Asked Questions

How much business income coverage should a storage facility carry?

Enough to replace your gross rental income for the full time it would take to rebuild and re-rent after a major loss — often 12 months or more for a large facility. We base the limit on your actual rent roll and a realistic restoration timeline.

Does business income cover a slow rental month or a recession?

No. Business income responds only to income lost because of a covered physical loss (like a fire or storm) that makes units unusable. It does not cover ordinary vacancy, market downturns, or simply renting at a slower pace.