Does a supplier delay trigger business-interruption coverage?
Not necessarily. Contingent business interruption may require physical damage at a dependent business. A delay alone should not be assumed to meet the form’s trigger; check the actual wording.[3]
Name each supplier or facility and ask whether it meets the form's dependent-property definition, what event triggers the coverage, and which waiting period, restoration period, sublimit or exclusion applies. Check separate cyber or service-interruption wording for port, labor or software outages.[3][7]
Read the Supply Chain and Logistics Insurance Buying Guide
Sources and Further Reading
- Commercial Insurance Guide — California Department of Insurance. Revised June 14, 2024; commercial property, inland marine, boiler and machinery/equipment breakdown, commercial general liability, commercial auto, umbrella, and workers compensation. California-focused guidance; confirm other jurisdictions and actual policy wording.
California commercial guide on property, inland-marine, equipment breakdown and auto topics.
- Small Business Insurance — National Association of Insurance Commissioners. BOP and exclusions; general liability and exclusions; professional liability, crime and cyber; business property. General educational descriptions, not policy terms.
- Business Interruption and Business Owner Policy — National Association of Insurance Commissioners. Business interruption and contingent business interruption; covered physical damage and dependent-business trigger qualifications.
NAIC explanation of business-interruption and contingent-interruption trigger limits.
- Warehousing: Hazards and Solutions — Occupational Safety and Health Administration. Material handling, powered industrial trucks, slips/falls, chemicals and ergonomic hazards; conditions depend on actual tasks and sites.
OSHA warehouse hazards to help describe actual sites and handling tasks.
- DWC Employer Information — California Department of Industrial Relations, Division of Workers’ Compensation. California employer workers compensation information; California-specific, including stated out-of-state employer examples.
- DWC FAQs for Employers — California Department of Industrial Relations, Division of Workers’ Compensation. Employer FAQ on California workers compensation requirements; one-or-more employee statement and separate sole-proprietor treatment.
- Cybersecurity for Small Business — Federal Trade Commission. Supplier risk, response planning and cyber-insurance buyer questions. Educational guidance, not policy wording.
Spot, a product of Tools for Enlightenment, publishes this guide and works in the commercial insurance market. This is general buyer education; policy terms and state-specific obligations determine coverage and requirements.
Updated 2026-09-28. Editorial Policy
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