time element insurance

A property insurance term referring to coverage for loss resulting from the inability to put damaged property to its normal use. This type of coverage is called "time element" insurance because the amount of loss depends on how long it takes to repair or replace the damaged property. The best known types of time element insurance are business interruption and extra expense coverage.

See also: business income coverage, commercial property coverage forms, commercial property policy, direct damage coverage, extra expense coverage, first-party insurance, property insurance, time element loss.


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