- The financial damages an entity takes from the loss of a property's use. For example, if a business's property is damaged in a fire and the company cannot continue to operate until the property is repaired or replaced, the lost business would be considered a consequential loss and these losses would need to be covered by a business interruption insurance policy in order for the insured to receive payment.
special damages, financial loss, consequential damages, lost profit
Related Terms and Acronyms
- Accounts Receivable Insurance — Definition,
- Insurance covering losses due to cash flow problems.
- Business Continuation Insurance — Definition,
- Insurance that provides coverage in the event that someone integral to the operation of a business dies or becomes disabled.
- Business Interruption Insurance (BII) — Acronym, Important,
- Insurance that covers losses in business income after an event interrupts business operations.
- Fire Insurance — Definition,
- Insurance that covers losses from fire damage to insured assets.