Lost revenue cover
Lost revenue cover is a surety bond, issued by an insurer for the lender’s benefit, that pays part of the missed revenue for 30 days in a qualifying offtake interruption, breathing room to find a new offtaker.
How it works
A bond for the lender. Lost revenue cover is an annual surety bond issued by an insurer for the lender’s benefit, with terms tailored to the offtake agreement and the financing structure (Lost Revenue Cover).
Thirty days of breathing room. In a qualifying offtake interruption, the bond pays part of the missed revenue for 30 days, the time to collect or to sign a new offtaker. The non-payment notice under the offtake contract usually starts a 30-45 day cure period (GPU loan default playbook).
Not every departure qualifies. The bond form sets the triggers, limits and exclusions, and pricing depends on the offtake agreement and the debt service schedule.
What lenders check
It answers the question property cover cannot. Business interruption insurance pays only after insured physical damage, so an offtaker that runs out of cash or walks is not a property claim (which insurers cover AI infrastructure).
It sits next to the structural protections, not in place of them: a controlled account, no termination for convenience, prepayment or a letter of credit.
Discuss a transaction
Send us the equipment list and the loan or lease you have in mind. We will come back with an indication and the questions we would need answered.
Prefer email? hello@amcompute.com
Questions
- Is lost revenue cover the same as business interruption insurance?
- No. Business interruption pays when insured damage stops the cluster. Lost revenue cover responds to a qualifying offtake interruption, such as a customer that stops paying.
- Is it trade credit insurance?
- No. Trade credit insurance covers a seller’s receivables from named buyers. Lost revenue cover is a surety bond written for the lender’s benefit around one offtake agreement.