Loss-of-income insurance

Loss-of-income insurance

Insurance coverage that will pay out income that a policyholder loses as a result of a disability, injury, or business disruption.

Loss-of-Income Insurance

Insurance that covers the interruption of a policyholder's business activities, whether in whole or in part. A policy may cover loss of income from the cessation of business activities due to an act of God, such as a tornado or a hurricane, or a foreseeable incident. Likewise, it may cover partial interruption of activities, such as a situation in which an employee's long-term injury results in a loss of production. Loss-of-income insurance may also refer to personal insurance providing income for a person's disability or long-term illness.
References in periodicals archive ?
The law imposes new restrictions on all loans made in Georgia and imposes additional restrictions on high-cost loans, including: no financing of credit insurance premiums; no refinancing of life, accident, health or loss-of-income insurance premiums; no recommending default on an existing loan; no fees for providing a payoff balance or release after refinancing, except when provided by fax or within 6o days of a previous request (in which case the lender may charge up to $10.
She also bought property coverage to insure her inventory against theft or fire, and loss-of-income insurance, so that she would have funds to rebuild her business should the building burn or be destroyed.
The most common loss-of-income insurance covers the loss of gross profits that result directly from a covered cause of loss.