Considering recent civil unrest, you might be wondering: What happens to businesses — big and small — after they experience serious damage and looting during riots? Does their insurance cover them, if they have it?

The answer is yes. Most standard insurance policies cover damages that result from rioting, looting, vandalism, and/or civil commotion. This can include damage from rioters, as well as damage that reactions of police or civil authorities may cause.

However, that’s not to say insurance covers all expenses completely. Plate glass windows are usually not included and require additional fees to compensate for the high risk. Also, you have to consider the lost business during the riot and closed periods due to damages. That is, unless the business owner also has business income insurance, or business interruption insurance.

This additional insurance will cover both net income and the business’s normal operation costs. The coverage usually comes into play if businesses are forced to stop their operations or limit hours due to riot damage. Unfortunately, a major downside is it’s only triggered if the business is physically damaged, meaning the riot alone isn’t justification enough for compensation.

No matter the size of your business, you never know what’s going to happen, so it’s better to stay safe and get the coverage you need. It’s even better when that coverage is affordable — and for AFEUSA members, Answer Financial can provide that security. Mix and match your custom plan with general liability, professional liability, property, and/or commercial auto coverages all in one place! Thanks for reading, and I hope your holidays are extra safe this year.