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â¢ Insured Earnings is the earnings as. described in your policy and used to. calculate your employeeâs benefits. â¢ It can vary depending on the definition. you choose for each eligibility group. â¢ Changes to insured earnings become. effective at the Insured Earnings.
In most instances, revenue falls or stops while at least some expenses continue. The insured seeks compensation under the lost business income provisions of its policy. Lost business income is typically defined as the net income that would have been earned if no physical loss or damage had occurred plus necessary and continuing operating expenses, such as payroll, taxes, and rent.