Business Interruption

Matson, Driscoll & Damico’s proven leadership and expertise in global business interruption claims combines keen investigative insight with accounting, business, operational, and manufacturing experience.

MD&D’s investigative and forensic accounting analyses are instrumental in the following business interruption-related areas:

• Initial business interruption loss reserves
• Actual loss sustained
• Loss of production and sales
• Expenses to reduce the loss (mitigation and expediting expenses)
• Extra expenses
• Reported values and co-insurance compliance
• Market and competitor analyses

Business interruption actual loss sustained measurements can be the most complicated and contentious portion of a claim to measure and settle.  To this end, MD&D professionals will:

• Perform a detailed review of the company’s operational and financial records
• Interview key management, staff, suppliers and customers as appropriate
• Analyse industry data to estimate the real effect on profit relating to the interruption in business and market share
• Compare projected performance to the company’s actual performance during the period of interruption
• Consider non-loss related events and conditions that may impact actual sales during the period of recovery
• Calculate the damages solely attributable to the incident

MD&D also helps identify instances where the business could have mitigated losses by purchasing from alternative sources or out-sourcing certain services, among other actions.

All collected data is delivered in a format consistent with the insured’s policy language. 

MD&D’s comprehensive, graphically enhanced report narratives and user-friendly supporting schedules allow all parties to understand findings and reconcile any differences by reason and amount. 

MD&D’s experts also coordinate with the insured’s management team to establish proper document management, accounting protocols, and loss controls.