Use dotted terms for definitions. You can also browse the glossary.
Before you decide
- Missing rent is a cash symptom, not proof of a covered event.
- Gross rent and payable income can differ.
- Default and planned vacancy are separate risks.
Identify the proposed provision
Ask whether the contract uses fair rental value, business income or another defined benefit. Travelers and NAIC describe damage-related income concepts, but those summaries do not establish the exact calculation for your policy.
Record the insured premises, covered cause, waiting period, dollar or time limit and restoration definition. Ask how saved expenses, partial occupancy and extra expense are handled.
Build the income evidence
| Record | Purpose |
|---|---|
| Leases and rent roll | Scheduled receipts and unit status |
| Collection history | Actual income and concessions |
| Expense ledger | Continuing versus avoided costs |
| Repair and permit timeline | Cause and length of interruption |
| Coverage wording | Trigger, measurement and end date |
Test two scenarios
Compare a fire making units unusable with a tenant not paying in a usable unit. Obtain a separate response for each. Do not assume the same income clause covers both.
Use the stress-test tool for reserve planning, while keeping its gross-receipt arithmetic separate from a claim calculation. Payment timing and any gap after repairs remain important questions.
Sources & scope
- Travelers: Landlord coverage and fair rental value
Product description, subject to covered loss, terms and limits; not a promise of payment.
- NAIC: Business interruption and businessowner policies
Updated June 25, 2026. General covered-event and income context; no universal eligibility or claim determination.
Sources checked October 24, 2026. General descriptions do not replace the policy, endorsements, declarations or an insurer’s coverage determination. Examples are hypothetical unless explicitly identified otherwise.
Continue your field guide
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