In the event of a business interruption, accurate documentation is essential to support your insurance claim and recover lost revenue. Commercial property owners should maintain a clear timeline of evidence—from the initial incident through repairs and eventual reopening. The following outlines what to document and when.
Immediate Incident Response (Day 0–7)
- Incident Report
- Date, time and location of loss (fire, flood, vandalism, etc.).
- Cause or suspected cause, witnesses, and emergency responder statements.
- Visual Evidence
- High-resolution photographs and videos of all affected areas and equipment.
- Label each file with date/time and brief description.
- Pre-Loss Condition
- Copies of recent inspection reports, maintenance logs, and “before” photos.
- Floor plans or site maps showing damage locations.
Initial Financial Impact (Week 1–4)
- Sales and Revenue Records
- Daily point-of-sale (POS) reports and cash register tapes.
- Credit card and bank deposit statements.
- Expense Documentation
- Payroll records, utility bills, rent/mortgage payments.
- Any extra costs incurred for temporary relocation or emergency services.
- Inventory and Supplies
- Inventory count sheets pre- and post-loss.
- Purchase orders for expedited restocking or replacement.
Ongoing Operations Tracking (Month 1–Claim End)
- Weekly and Monthly Reports
- Comparative income statements (pre-loss vs. post-loss).
- Cash flow analyses highlighting interruption impact.
- Project Timelines
- Updates on repair progress, expected completion dates.
- Logs of downtime for specific areas or equipment.
- Mitigation Efforts
- Invoices for emergency board-up, water removal, mold remediation.
- Contracts and correspondence with contractors and vendors.
Communication and Correspondence
- Insurer Communications
- All letters, emails and phone-call notes with your carrier and adjuster.
- Dates, topics discussed, any requests or clarifications.
- Third-Party Notices
- Letters to customers, suppliers and lenders regarding delays or shutdown.
- Regulatory filings or health/safety notifications, if required.
Final Claim Compilation
- Proof of Loss Statement
- Completed insurer form detailing lost income and extra expenses.
- Attach exhibit of all supporting schedules.
- Reconciliations
- Reconcile estimated vs. actual losses once operations resume.
- Provide final invoices and closing reports.
- Retention of Originals
- Keep copies of all original receipts, logs, and correspondence for at least one year post‐settlement.
By following this structured approach—documenting incidents, tracking financial impact, and preserving all communications—you’ll strengthen your business interruption claim and facilitate a smoother recovery process.