Loss of Business Income Quantification
Baseline analysis establishes the insured’s projected revenue and policy-defined business income using reconciled management and statutory accounts. Experts identify uninsured working expenses, insured standing charges, and any accounting policy changes that distort comparability before any shortfall is measured.
Shortfall modeling compares but-for revenue to actual results across the period of restoration, incorporating one-off events disclosed in contemporaneous records. Saved variable expenses are credited consistently with the policy definition before reporting a Daubert-compliant loss position.
| Phase | What We Do | Deliverable |
|---|---|---|
| Baseline Review | Analyse 12-month pre-loss accounts | Standard Revenue figure |
| Shortfall Calculation | Project but-for revenue vs actual | Business income shortfall |
| Adjustments | Reconcile policy definitions to ledger lines | Adjusted loss figure |
| Report | Expert witness report with workings | Daubert-compliant report |
Frequently asked questions
What is loss of business income in a US BI policy?
It is the policy-defined business income the insured would have earned during the period of restoration but for the interruption, usually measured by applying the business income margin to any shortfall in projected revenue, then adjusting for extra expense and savings on insured standing charges.
How do experts calculate business income shortfall?
Experts reconcile management accounts to the policy definition, establish projected revenue and the business income margin from the reference period, compare but-for revenue to actual results across the period of restoration, and document adjustments in a Daubert-compliant workbook.
What documents support business income quantification?
Typical packs include statutory and management accounts, sales tax returns, EPOS or billing data, payroll, board forecasts, and claims adjuster or engineering reports that anchor the interruption timeline.
Ready to find your business interruption expert witness?
Tell us about your dispute. We will match you with a credentialed US specialist for loss quantification, policy interpretation, and Daubert-compliant reporting.