A radio station rents a temporary studio and leases backup transmitters at premium prices to stay on the air after its main building is severely damaged by a covered windstorm. Which coverage is specifically designed to pay these costs?
a.Business Personal Property
b.Extra Expense
c.Ordinance or Law coverage
d.Building coverage
Explanation
Extra Expense coverage pays the necessary expenses an insured incurs during the period of restoration that would not have been incurred if no direct physical loss had occurred. Classic examples include leasing temporary facilities, expediting repairs, or renting substitute equipment so the business can continue to operate or speed its return.
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