Will Business Interruption Insurance for Pandemics and Covid-19 Cover My Losses?

Currently, there is no coverage under business interruption coverage for pandemics and Covid-19. There is talk of possible legislative action that will enact coverage changes and provide business interruption during a stipulated period, which is to be determined.

If this action is approved, it will not be easy as there are millions of affected policyholders and not nearly enough adjusters. These are not easy claims to adjust, and as stated, there are not enough adjusters to handle the masses.

If you feel you have suffered a business interruption loss as a result of Covid-19, we suggest you notify your insurance agent to put your carrier on notice and get you logged into the system. If the action is approved and coverage is afforded, being in the system will provide a leg up on the process and help expedite getting payment.

As these are the opinions of Schechner Lifson, you have to understand that submitting a claim will not impact your policy or coverage as currently written. When submitting, you should reference your company name and date you had to shut down and/or release employees. Be patient, but proactive. If you have any questions – don’t hesitate to contact Schechner Lifson today. We are currently working remotely but happy to help during these unprecedented times.
Marc Rosenkrantz,CRM,CIC,AAI