Determining the right coverage involves assessing the specific needs of your business. Entrepreneurs should consider the following factors:
- Revenue Trends: Analyze past revenue trends to estimate potential income loss. - Fixed and Variable Costs: Identify fixed costs that will remain constant and variable costs that may fluctuate. - Risk Assessment: Evaluate the likelihood of different types of disruptions based on your business location and industry. - Recovery Time: Estimate the time it would take to fully recover and resume normal operations.