P01 / BUSINESS INTERRUPTIONPROFESSIONAL TOOLGross Profit basis
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.
Risk and Coverage Cluster
Professional users usually need to move between exposure sizing, limit adequacy, and scenario modelling. This cluster keeps those supporting paths shallow and crawlable.
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
Cluster Hubs
Use these organising pages when you want the main calculators and supporting guides for this topic grouped in one place.
Related Calculators
Move sideways to closely related calculators without leaving the same topic cluster.
Use the Coverage Gap AnalysisMap policy limits against exposures across property, liability, BI, and cyber lines.Use the Total Cost of Risk (TCOR)Aggregate premiums, retained losses, admin, and risk control costs. Four scenario comparison.Use the Risk Score & Heat MapScore risks by likelihood and impact. 5×5 heat map, editable register.Use the Cyber Risk ExposureEstimate breach costs, risk score, and recommended cover limit based on security controls.
Related Guides
Use these supporting explainers when you need the formula, assumptions, or decision framing behind the numbers.
Business Interruption Sum Insured: How It WorksWork through BI sum-insured logic and indemnity-period sizing.Human Life Value: How Income Replacement Maths WorksKeep protection-gap and income-replacement framing attached to the broader coverage cluster.Cyber-Resilient Agency: Protecting Client DataConnect breach exposure to control investment and coverage planning.Cyber Insurance Limits: How Adequacy Is EstimatedKeep cyber-limit adequacy and the supporting exposure logic inside the same protection path.