What type of loss occurs from inability to use damaged property, such as loss of income and extra expenses?

The term "Time element loss" accurately describes the scenario where a property cannot be utilized due to damage, leading to the loss of income or incurring additional expenses. This type of loss specifically refers to the financial impacts that occur over time as a result of property damage, rather than the direct physical damage to the property itself.

For example, if a business experiences a fire and temporarily closes, the income that would have been generated during the closure period is considered a time element loss. Additionally, any additional costs incurred to maintain operations during the repair period, such as renting temporary space or equipment, fall under this category as well.

Understanding this concept is essential for recognizing how property damage affects financial stability over time, highlighting the broader implications of property insurance beyond mere replacement or repair costs.