By Vicki Needham - 06/15/10 05:45 PM EDT
Improvements in the process were made after discussions with federal, state and local officials, BP said.
"The acceleration of commercial large claims payments will help ease the burden of impacted businesses by providing access to money in a short period of time," the release said.
BP said improvements include issuing monthly advances based on the estimates for one month of business loss, instead of a 'look back' process.
Future advances will be made as long as legitimate losses are occurring. Those payments will be adjusted for the actual loses incurred in the previous month versus the estimated losses paid in that month.
Also, a standard formula will be applied to calculate advances to cover ongoing operating costs plus a 10 percent increase to account for volatility.
Expected revenues will be subtracted from these costs to arrive at a payment. Subsequent monthly advances will be adjusted to balance actual losses against previous estimated advance payments.