"Business Income & Extra Expense" coverage question

[fish69]

This coverage comes into play as a result of property damage from a "covered peril". In this case, the peril is earthquake and the coverage has been added by endorsement. This coverage carries a large 15% deductible (15% of the total building coverage by location), so if a loss does occur, and the building damage extensive, it may still be under the deductible so no structural repair/replace dollars come into play.
However, the damage has caused the tenant to be forced to move out of the building & rent somewhere else.
The question is this: Does the "Business Income & Extra Expense" coverage still provide protection to the building owner even though the property damage aspect of the loss would be closed?
I can find no policy/endorsement language that mentions anything about the deductible coming into play that would effect this coverage being applied...….Thanks for your thoughts!

 

[adjusterjack]

My thought is that it's probably impossible to render an opinion without reading the policy and all its forms.

The best way to get your question answered is to ask the property claims rep at the insurance company that wrote the policy.

However, if you can confirm that you are talking about ISO forms CP 1030 Building and Personal Property Coverage Form and CP 0030 Business and Extra Expense Coverage Form, I have samples of those so I would just need you to upload a copy of the Earthquake Coverage Form for me to take a look at.

 

[InsCommentary]

The EQ form applies separately to the BI/EE form(s) and IF there is BI/EE coverage for the EQ peril, it should be shown on the Dec. page. Whether there's coverage on the CP 00 10 form or how much there is doesn't matter with regard to coverage on the BI/EE form(s).