The question of whether insurance companies can be held liable for COVID-19 losses has not yet been settled. A Durham court’s decision to grant a business interruption claim due to restaurant losses from pandemic restrictions has been appealed by the insurance company. Durham restaurant owners Matt Kelly and Giorgios Bakatsias won a lawsuit last month… Continue reading Insurer Appealing North Carolina Restaurant BI Claim Decision
Tag: business interruption perils
U.S. Businesses Are Fighting Insurers in the Biggest Legal Battle of the Pandemic
John Houghtaling was working in the second-floor den of his mansion near the Garden District in New Orleans when a legal memo arrived in his email inbox. It was mid-March, not long before the pandemic shut down much of the U.S., and cooks in white aprons were downstairs preparing an extravagant dinner: lobster casserole, veal… Continue reading U.S. Businesses Are Fighting Insurers in the Biggest Legal Battle of the Pandemic
FCA BI Insurance Test Case Appeal Heads to Supreme Court
A test case brought by Britain’s markets regulator against some of the world’s biggest insurers will jump straight to the Supreme Court after London’s High Court agreed to a fast-track appeal on Friday. Although expedited, the appeal will further delay payouts on disputed claims for thousands of struggling businesses battered by the coronavirus pandemic, hoping… Continue reading FCA BI Insurance Test Case Appeal Heads to Supreme Court
Michigan Judge Rejects Restaurant Claim Over Business Interruption Coverage
A court in Lansing Michigan has rejected a claim lodged by a restaurant company, Gavrilides Management Co, who wanted a payout after Covid-19 restrictions closed their business. The commercial policy that was in place specifically excluded virus emergencies and basically covered damage to the building itself from fire, flood etc. The US and the UK… Continue reading Michigan Judge Rejects Restaurant Claim Over Business Interruption Coverage
U.S. Insurers Say Coronavirus Is an Unprecedented Event
U.S. property and casualty insurers have cast the coronavirus pandemic as an unprecedented event whose massive cost to small businesses they are neither able nor required to cover. The industry has warned it could cost them $255 billion to $431 billion a month if they are required, as some states are proposing, to compensate firms… Continue reading U.S. Insurers Say Coronavirus Is an Unprecedented Event
French Restaurant Ruling Puts Coronavirus BI Claims on Global Menu
AXA will meet the bulk of business interruption claims from some restaurant owners in France, it said on Tuesday, after losing a court case seen as a potential precedent for coronavirus-related disputes across the world. A Paris court ruled last week that AXA should pay a restaurant owner two months of revenue losses caused by… Continue reading French Restaurant Ruling Puts Coronavirus BI Claims on Global Menu
Triple-I’s CEO Tells Congress Global Pandemics Are Uninsurable
U.S. insurers serve as the nation’s financial first responders when natural disasters cause widespread property damage but insurers generally neither collect premiums for nor cover pandemic-caused losses, according to Sean Kevelighan, CEO, Insurance Information Institute (Triple-I). “An event like a global pandemic is uninsurable,” Kevelighan stated today, at a virtual forum hosted by the U.S.… Continue reading Triple-I’s CEO Tells Congress Global Pandemics Are Uninsurable
NJ Class Action Lawsuits Fight Denial of Business Interruption Coverage Over COVID-19
Insurers are facing lawsuits in New Jersey courts over the denial of business interruption coverage on behalf of establishments that lost revenue due to shelter-in-place policies prompted by the coronavirus pandemic. Three class action suits have been filed in the District of New Jersey in recent days on behalf of restaurants that were denied business… Continue reading NJ Class Action Lawsuits Fight Denial of Business Interruption Coverage Over COVID-19
Insurers Feel the Heat for Business Interruption Payouts
Daniel Duckett, owner of the Lazy Claire patisserie in Belfast, was hoping for an insurance payout of up to 100,000 pounds ($123,460.00) to cover losses during the coronavirus lockdown. Now he fears for the future as he battles for the compensation. Duckett is one of thousands who have called their insurers to claim on business… Continue reading Insurers Feel the Heat for Business Interruption Payouts
Pandemic Exclusions Challenged in Court
Lawsuits Filed for the Excluded Ever since the beginning of the coronavirus quarantine, businesses have been concerned to discover that their business insurance did not cover the damages sustained by the pandemic. Despite having to shut their doors entirely or transition to delivery at a substantial loss, their policies have are not designed to step… Continue reading Pandemic Exclusions Challenged in Court