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SIMILAR WORDS: business income insurance A policy that protects a company from loss of sales if a fire in a factory prevents it from carrying out its business functions is often referred to as business interruption insurance . Weather insurance is a type of business interruption insurance that compensates for financial losses caused by adverse weather conditions, such as constant rain on the day scheduled for a major outdoor concert. Business interruption insurance is insurance coverage that pays for loss of earnings when business operations have to stop because of property loss due to an insured danger.