Use and Occupancy Insurance – U&O

DEFINITION of 'Use and Occupancy Insurance – U&O'

A type of insurance that covers against the loss of use of machinery or property due to damage resulting from a named peril or hazard, such as a fire or natural disaster. Use and occupancy insurance provides certain coverage through endorsements to property/casualty insurance policies, if the equipment or property can no longer be used.


Also known as business interruption insurance or business income coverage.

BREAKING DOWN 'Use and Occupancy Insurance – U&O'

This type of insurance policy can also pay the insured on a valued basis, or a specified, fixed amount, for each day that the insured is not able to use or occupy the covered property because of an insured peril. The amount that is payable can be determined by reviewing past financial records of the business.

RELATED TERMS
  1. Commercial Property Insurance

    Insurance that is used to cover any type of commercial property. ...
  2. Adequacy Of Coverage

    The adequacy of coverage concerns how well your insurance policies ...
  3. Business Insurance

    Insurance coverage that protects businesses from losses due to ...
  4. Umbrella Insurance Policy

    Extra liability insurance coverage that goes beyond the limits ...
  5. Endorsement

    1. A legal term that refers to the signing of a document which ...
  6. PLUS Loan

    A low-cost student loan offered to parents of students currently ...
Related Articles
  1. Entrepreneurship

    Don't Get Sued: 5 Tips To Protect Your Small Business

    Find out what you can do to limit risk and keep your business running smoothly.
  2. Real Estate

    Best 3 Mortgage Calculator Websites without PMI

    Discover the three best mortgage calculator websites online that do not require you to factor private mortgage insurance (PMI) into your payments.
  3. Insurance

    How Much Homeowners Insurance Should You Carry?

    This breakdown of coverage into its component parts will provide the answer.
  4. Home & Auto

    5 Tips on Last-Minute Home Winterization

    To ensure your home is in the best shape to survive the chilly weather ahead, here are five, last-minute tips to help winterize your home.
  5. Mutual Funds & ETFs

    KIE: SPDR S&P Insurance ETF

    Learn about the SPDR S&P Insurance exchange-traded fund, which follows the S&P Insurance Select Industry Index by investing in equities of U.S. insurers.
  6. Taxes

    Don't Miss These Tax Deductions

    Knowing the tax deductions you're entitled to can make or break your bank account. Do you know about all these insurance-related deductions?
  7. Entrepreneurship

    Creating a Risk Management Plan for Your Small Business

    Learn how a complete risk management plan can minimize or eliminate your financial exposure through insurance and prevention solutions.
  8. Entrepreneurship

    Identifying And Managing Business Risks

    There are a lot of risks associated with running a business, but there are an equal number of ways to prepare for and manage them.
  9. Entrepreneurship

    Top 10 Features Of a Profitable Rental Property

    Find out which factors you should weigh when searching for income-producing real estate.
  10. Home & Auto

    Make This The Year You Get Vacation Insurance

    With a few simple policy additions you can protect your holiday plans from being ruined.
RELATED FAQS
  1. Do FHA loans have private mortgage insurance (PMI)?

    he When you make a down payment from 3 to 20% of the value of your home and take out a Federal Housing Administration (FHA) ... Read Full Answer >>
  2. Does renters insurance cover water damage?

    An all-perils renters insurance policy does cover water damage, less the deductible, to personal property if the damage is ... Read Full Answer >>
  3. Does renters insurance cover storage units?

    An all-perils renters insurance policy provides coverage for the contents of storage units. Most policies limit the amount ... Read Full Answer >>
  4. Does renters insurance cover personal injuries?

    Renters insurance provides two main forms of coverage – liability and contents insurance – and they are offered together ... Read Full Answer >>
  5. Does renters insurance cover flooding?

    An all-perils renters insurance policy does not cover damage from a flood. Consumers sometimes confuse a pipe bursting with ... Read Full Answer >>
  6. Does renters insurance cover mold?

    An all-perils renters insurance policy typically provides a low set amount of coverage for damage caused by mold as long ... Read Full Answer >>
Hot Definitions
  1. Socially Responsible Investment - SRI

    An investment that is considered socially responsible because of the nature of the business the company conducts. Common ...
  2. Presidential Election Cycle (Theory)

    A theory developed by Yale Hirsch that states that U.S. stock markets are weakest in the year following the election of a ...
  3. Super Bowl Indicator

    An indicator based on the belief that a Super Bowl win for a team from the old AFL (AFC division) foretells a decline in ...
  4. Flight To Quality

    The action of investors moving their capital away from riskier investments to the safest possible investment vehicles. This ...
  5. Discouraged Worker

    A person who is eligible for employment and is able to work, but is currently unemployed and has not attempted to find employment ...
  6. Ponzimonium

    After Bernard Madoff's $65 billion Ponzi scheme was revealed, many new (smaller-scale) Ponzi schemers became exposed. Ponzimonium ...
Trading Center