Business Interruption (BI) values are an important requirement of the insurance process. The challenge is finding a repeatable, efficient system that produces an accurate measurement of your BI exposure. Consider for a moment, just how important this information is to your underwriter. The numbers you report gives the underwriter the basis for not only writing coverage, but is the basis for calculating premium. Each renewal gives you, the policyholder, the opportunity to present your unique BI risks, however, this opportunity is often squandered due to a multilateral misunderstanding of business interruption values and the exposures they represent. 

So what is the best approach? Get help from a firm you can trust.

Sigma7 RWH Myers’ partners and professionals provide extensive loss accounting services spanning a broad range of industries and insurance issues. This expertise and knowledge of business interruption loss accounting helps policyholders quantify their exposures and achieve accurate BI values. 

Our team will work with your organization to define your BI profile that differentiates your risk in the market. We will collect, measure and report the information that best represents your BI risks. The forensic accounting methodology used is always customized to each organization we serve and we offer various levels of analysis to meet your goals, including:

• Ratable BI value
  
• Allocation by location for the schedule of values
  
• Key process / location exposure analysis
• CBI / Supply Chain / third-party exposures
• Cyber BI 

As shown above, BI Values and Exposures studies typically fall within the following categories: annual BI Values, consolidated or by location, and annual BI Values by location with detailed analyses of the realistic exposures to loss. These exposure analyses provide quantifications of, and explanations for Maximum Foreseeable Loss (MFL) and Probable Maximum Loss (PML) exposures, as well as consideration of extra expense and contingent exposures. 

The exposure analysis should consider relevant factors such as supply chain, interdependent locations, business continuity and disaster recovery plans. The exposure analysis provides the necessary information to determine appropriate limits and sub-limits of insurance. This sets your BI underwriting submission apart to maximize the capacity competing on your program. 

When it comes to this area of a policyholders risk portfolio, it's not a matter of "if" an independent evaluation is needed. It's a matter of "when." For a marginal cost, our analysis's will deliver value with every subsequent renewal.