Covers airlines for a pre-agreed daily amount in the event of the aircraft being out of use due to an ‘intervening peril’ (peril covered under hull all risks and war risks covers), but can extend to mechanical breakdown, groundings, air traffic control strikes, etc. Cover does not apply to total loss situations. Financiers may insist that cover is arranged to fund lease payments during periods of repair. Claims payments may be sufficient to help the insured meet other fixed costs. See TOTAL LOSS ONLY INSURANCE.