What are additional expenses incurred during a business interruption called?

In the context of business interruption insurance, the term used to describe additional expenses incurred is "extra expenses." These costs refer specifically to expenses that a business must deal with in order to continue operations or to minimize the impact of the interruption. For example, if a fire damages a facility, the business may need to rent temporary space or acquire new equipment, and these are considered extra expenses.

This designation is crucial in the context of insurance claims, as it helps businesses recover not only their lost income but also the added costs necessary to keep operations running during the interruption. The clarity in terminology can aid in navigating insurance policies and in making claims.

Other options provided may describe various costs associated with running a business, but they do not specifically refer to the additional expenses incurred due to a business interruption. Understanding the distinctions between these terms is key for effective communication and financial planning in such challenging situations.