Overview
Foundations, Accounting for BI & Core Provisos
• Introduction & Purpose of Consequential Loss / BI Insurance
• The Interplay Between Turnover, Net Profit & Standing Charges
• Insurance vs. Accounting Gross Profit: Addition vs. Difference Methods
• Indemnity Period vs. Policy Period: Selection & Operational Risk Analysis
• The Material Damage Proviso: Legal Purpose, Practical Impact & Exceptions
Mitigation Costs, Economic Limits & Claim Calculations
• Increased Cost of Working (ICOW): The Economic Limit Principle
• Additional Increased Cost of Working (AICOW): When and Why to Procure It
• The Trends Clause & Standard Turnover: Adjusting for Business Trajectory
• Step-by-Step BI Claim Settlement Mechanics & Underinsurance Penalty
• Practical Case Exercises: End-to-end Loss Calculation and Allocation
Specialized Bases, Clauses & Structuring Covers
• Departmental Clause: Protecting Profit Centers and Cross-Subsidization
• Alternative Basis Policies: Output Basis (Volume-Driven) & Revenue Basis (Services)
• Dual Wages Basis: Severance, Retention of Skilled Labor & Payroll Flexibility
• Rent Receivable Wording: Landlord and Tenant Income Protections
• Key Endorsements & Extensions in the Global Property BI Market
Supply Chain Dependencies & External Disruptions
• Interdependency of Group Companies: Consolidated Books & Supply Chains
• Contingent Business Interruption (CBI): Unnamed Suppliers & Customer Dependencies
• Prevention of Access, Ingress/Egress & Loss of Attraction Wordings
• Wide Area Damage (WAD) Principles: Catastrophic Event Business Claims
Engineering BI & Landmark Precedents
• Machinery Loss of Profits (MLOP) vs. Advanced Loss of Profits (ALOP / DSU)
• Landmark Case Laws & Judicial Interpretations in the UK, Commonwealth & India
• The UK Financial Conduct Authority (FCA) Test Case: Precedents & Evolution
