COVID-19 And Business Insurance — Are You Covered?
All over America, businesses are struggling to survive as a result of the fallout from the COVID-19 virus. Many of these businesses purchased and paid premiums for what are known as “all risk” insurance policies, but few if any claims are actually being paid by insurance companies. Many of these businesses specifically purchased what is known as “business interruption” insurance and “civil authority” insurance; both of these types of insurance are supposed to provide coverage for losses as a result of a business interruption or in the event that losses result from action by the government.
It has become unfortunately clear that the insurance companies have made a corporate decision to deny virtually all claims related to COVID-19. Without court intervention, it is unlikely that insurance companies will in fact pay for losses that are actually covered. Here is what you need to know.
The Insurance Policies And Key Issues
Most commercial policies purchased by businesses are known as “all risk” policies. Just because you did not specifically purchase what is known as “business interruption” insurance, does not necessarily mean that you do not have a claim as a result of the COVID-19 fallout. You need to have a legal professional review your policy to see if coverage is available and what arguments can be made in favor of coverage.
Insurance policies are typically replete with multiple coverage exclusions and endorsements. These must be carefully analyzed and the claim must be made pursuant to the policy and endorsements, while avoiding a trigger of the exclusions. In the absence of an applicable exclusion — which insurers have had available to add to property policies since 1986 — the strong implication in an “all risk” policy is that losses resulting from COVID-19, if not expressly excluded, are thereby covered.
Although there are many similarities, every insurance policy will be different. Some businesses have multiple policies, and all or none may provide coverage for COVID-19 losses. The key is to have a legal professional review the policy language. Whether you have business interruption insurance, specific insurance that triggers due to government intervention (“civil authority), specific insurance that provides virus/bacteria/fungus coverage, or a basic “all risk” policy, a thorough review is needed. Although many agents are helpful and will assist in advocating for you on your claim, ultimately, if the claim is denied, you will need a legal professional for assistance.
The Buzbee Law Firm can help you make your claim, quantify it and ultimately pursue your claim in court — all with no out of pocket fees or expenses to you or your business. Getting started is as easy as signing a contract and connecting with one of our experienced attorneys.
Arrange Your Free Consultation Today
To meet with one of our lawyers, call our office in Houston today at 844-349-9196 or send us an email to arrange your free consultation. We are able to talk with you over the phone or arrange a video conference if necessary. We will review the documents connected with your claim and present you with a clear view of your options, as well as discuss how we can help you get results.