indemnity periods

An indemnity period is the maximum length of time an insurance policy will cover the financial losses resulting from an insured event, such as a business interruption. It starts from the date the incident occurs and continues until the business recovers or the coverage limit is reached. This period ensures ongoing expenses and lost income are compensated during recovery, helping the business remain financially stable. Choosing an appropriate indemnity period depends on the expected time needed to restore operations after a disruption.