Business groups are throwing their support behind a pandemic insurance bill modeled after a post-9/11 law that created a federal backstop for claims related to acts of terrorism. The Pandemic Risk Insurance Act, much like the 2002 Terrorism Risk Insurance Act (TRIA), would provide compensation for losses resulting from pandemics or public health emergencies. But… Continue reading Business Groups Back Pandemic Insurance Bill Modeled on Post-9/11 Law
Tag: business interruption
Businesses Hit by Pandemic and Disasters Will See Lower Insurance Payouts
As insurers brace for an expensive natural-disaster season because of storms and wildfires ravaging parts of the United States, the novel coronavirus is giving them an odd financial break. Many companies that were damaged or evacuated because of natural catastrophes were already generating far less revenue due to the pandemic. That means they will get… Continue reading Businesses Hit by Pandemic and Disasters Will See Lower Insurance Payouts
Brokers May Face a COVID-19 BI Wordings E&O Storm from Two Sides
Brokers face a risk of coming under fire from two sides as the litigation and complaints over pandemic related business interruption from Covid-19 spread, with the potential for intermediaries to find themselves in the middle of an E&O storm. With carriers stating that pandemic related business interruption was never envisaged to be covered under many… Continue reading Brokers May Face a COVID-19 BI Wordings E&O Storm from Two Sides
Missouri Judge Rules Business Owners Can Sue Insurer Over Coronavirus Losses
A federal judge in Missouri said on Wednesday a group of hair salons and restaurants can sue their insurance carrier for business interruption losses caused by the coronavirus pandemic, which they say caused a “direct physical loss” to their premises. The decision against Cincinnati Insurance Co by U.S. District Judge Stephen Bough in Kansas City… Continue reading Missouri Judge Rules Business Owners Can Sue Insurer Over Coronavirus Losses
Minor League Baseball Teams Sue Insurance Providers Over Denied Coronavirus Claims
Fifteen minor league baseball teams have filed a lawsuit alleging breach of contract by insurance providers after being denied claims for business-interruption insurance due to the coronavirus pandemic. Major League Baseball announced Monday that it will attempt to play a 60-game regular season, but its minor league clubs — many under threat of losing affiliations… Continue reading Minor League Baseball Teams Sue Insurance Providers Over Denied Coronavirus Claims
COVID-19 Crisis Could Cost the Insurance Industry $107 Billion
Can small businesses count on insurance checks to replenish their coffers after Covid lockdowns? In most cases, probably not. Business-interruption insurance is typically part of a property policy and requires premises to sustain physical damage before a claim can be made. Since shutdowns have rarely damaged stores or factories, it has proven hard to make… Continue reading COVID-19 Crisis Could Cost the Insurance Industry $107 Billion
Is Looting Insured?
Over the past week, protests against racial inequality have been held in dozens of cities across the U.S. While most saw large and peaceful assemblies, some—such as Los Angeles, D.C., New York City, and Minneapolis—included looting, arson, and other property destruction from a small number of participants. For many businesses, this vandalism follows months of… Continue reading Is Looting Insured?
Insurers Say Riot Damage is Covered under Most Insurance Policies for Businesses
Fraser Ross, owner of the popular Los Angeles boutique retailer Kitson, has boarded up his three stores. The once-thriving business is one of so many retailers experiencing the fallout from the riots and civil unrest that has ravaged the U.S. in recent days. On the heels of the coronavirus outbreak and widespread business closures, now… Continue reading Insurers Say Riot Damage is Covered under Most Insurance Policies for Businesses
Insurance Relief for Riot-Impacted Businesses
Well-reported incidents of rioting nationwide have resulted in extensive damage to business premises, inventory and other property. In addition, government-instituted curfews or shutdown orders have interrupted businesses, causing commercial enterprises to lose income. Many managers assume their insurance policies exclude riot-caused damage. Typically, this is not the case. Insurance coverage for property damage and lost… Continue reading Insurance Relief for Riot-Impacted Businesses
Protests Derail Comeback Plans for Restaurants and Retailers
Macy’s Inc. delayed the reopening of some stores shut by the coronavirus pandemic. Apple Inc. stores that had recently unlocked their doors were boarded back up. Chains from Kroger Co. to Popeyes have cut back their hours. And the CEOs of Starbucks Corp. and McDonald’s Corp. organized companywide discussions of the social unrest that has… Continue reading Protests Derail Comeback Plans for Restaurants and Retailers