Business Interruption Loss
Covid closed your business. You paid for business interruption coverage, but your carrier denied your claim. That may have been wrong.
Don't take their word for it.
Your business may have suffered an insured loss that your carrier has denied improperly. As you may have read in recent articles, carriers are broadly denying claims under “business interruption” supplemental commercial coverage.
The most common denial is based on the typical requirement in these policies that the business loss result from “physical damage” to the insured property. The theory is that contamination by the virus does not constitute physical damage or a physical loss to the property, and therefore does not trigger a valid claim for business interruption loss. Similarly, some policies may appear to cover loss or excess expense caused by a civil order such as our Governor’s executive orders closing businesses for public health reasons, but those also may depend on a “physical damage” analysis and other factors.
Depending on the actual policy language, however, denial of coverage may be improper, and you may be denied compensation you deserve. One way to find out is to have an attorney review the individual policy and assess its potential for successful challenge to the denial of coverage.
Our attorneys have substantial experience in successfully challenging denials of insurance coverage. For a recent example, see our most recent blog post here.
We would be happy to review your policy if it contains a “business interruption” or “civil authority” provision under which coverage has already been denied. Importantly, a recent denial of coverage is required. Should we determine that a claim is viable and we would accept it, we would offer you options for representation to include a contingency fee arrangement in which our fee depends on successful recovery.
These times are tough enough for our business community without insurance companies denying funds that should be put to work in our collective recovery. Please feel free to inquire below.