PLAIN FIGURES/P01 / BUSINESS INTERRUPTIONPROFESSIONAL TOOL

Business Interruption Sum Insured Calculator

Calculate the correct BI sum insured using gross profit, indemnity period, trend uplift, and increased cost of working (ICOW). Designed for commercial brokers and risk managers.

Business Financials
£
Fixed costs: 60%
%
£
Policy Parameters
Expected annual growth
%
% of BI sum for increased working costs
%
Recommended Sum Insured
Total Recommended BI Sum Insured
£2,898,000
Gross Profit
£1,200,000
GP Rate: 60.0%
Trend-Adjusted GP
£1,260,000
+5% uplift applied
BI Sum Insured (base)
£2,520,000
ICOW Allowance
£378,000
Increased Cost of Working
Cumulative Loss — 24-Month Indemnity Period
M1
£105,000
+£15,750
M4
£420,000
+£63,000
M7
£735,000
+£110,250
M10
£1,050,000
+£157,500
M13
£1,365,000
+£204,750
M16
£1,680,000
+£252,000
M19
£1,995,000
+£299,250
M22
£2,310,000
+£346,500
M24
£2,520,000
+£378,000
Gross Profit Loss
+ ICOW
Gross Profit Calculation
Annual Turnover / Revenue
£2,000,000
Less: Variable Costs (40%)
£800,000
=
Insurable Gross Profit
£1,200,000
+
Trend Uplift (+5%)
£60,000
=
Trend-Adjusted Gross Profit
£1,260,000
=
× Indemnity Period (24/12)
£2,520,000
+
ICOW Allowance (15%)
£378,000
=
RECOMMENDED SUM INSURED
£2,898,000