The First Art Newspaper on the Net   Established in 1996 Monday, January 25, 2021

What to do if your insurer refuses to pay your business interruption claim

The Covid-19 virus has disrupted life all around the world, and it has disrupted many businesses. A lot of those businesses are filing claims for business interruption, which is part of their regular business insurance policy. Insurance companies are balking at paying claims and have denied many business disruption claims that have been filed because of the Covid-19 virus. The mater is a legal controversy at this time. Even so, you may have paid for insurance to cover you when your business was disrupted. If you are in that situation contact a lawyer to sue for denial of a business interruption claim.

Businesses struggling
Many businesses were forced to close during state lockdown, and many businesses are still struggling to get back on their feet. It will be a complicated process, and while you could file a claim on your own, you need to have some legal expertise to help you get through this difficult time. Many insurance companies are flatly rejecting claims. There are already several class-action lawsuits filed. Some states, like Oho and New York, have passed laws requiring insurance companies to pay businesses that had business disruption policies.

Many businesses did pay for this type of insurance. The policies cover a business when it must close due to a covered event, such as a fire. Many insurance companies put in a clause saying it did not cover a pandemic, which was added after the SARS pandemic in 2003. Many policies also have exclusions for when authorities close a business. Those are the two main reasons insurance companies are denying claims.

Insurance companies have the language in their policies, but many business owners feel this is unfair. Some have gone to state legislatures to get laws passed, and there has been some success in that regard. Others have gone to attorneys to take insurance companies to court.

What business owners can do
If your business is in this situation, it would be a good idea to contact an attorney to discuss your case. You might also want to contact your state legislator to see if they can help.

Review your policy to see if it has an exclusion for a pandemic, or if there is an exclusion if your business is closed by legal authorities. Be sure of what your policy says. You may still be able to sue even if it has those clauses.

You should still file claims with your insurance company even though most claims are denied. Follow any available appeals. Actively pursuing the matter will keep your rights in place.

Keep detailed records of losses caused by the pandemic. Avoid destroying any documents that could help your case.

Governments involved
Many states are taking action to help businesses. In California, the state Dept of insurance has stepped in. The state's insurance commissioner has ordered insurance companies to pay claims for business disruption.

While some states are fighting for business, the insurers are being supported at the national level. Recently the Federal Treasury Dept., said the government should not require insurance companies to pay when exclusions exist in the contracts -- or insurance policies.

President Donald Trump called it a "gray area" and said insurers should pay those claims when they are legitimate claims. He said it is not fair for businesses to have paid for business disruption coverage for years, and to not get anything when they need it.

The insurance industry's case
The insurance industry says it would have way more claims than it has ever had if it paid all these claims, and it feels that with the exclusions written into the policies, it should not have to. The industry has called on federal and state governments to help businesses.

Some states are taking insurance companies to task over the matter, and if you live in one of those states you may have a good chance of getting some payment. There are at least so far no states passing laws agreeing with the insurance companies.

If you are in a state that is not requiring insurance companies to pay these claims, you should contact a lawyer that deals with these types of cases today. It will be important to get your lawsuit started early because there will likely be a lot of them in the coming months as the nation tries to dig out of the Covid-19 virus.


Today's News

June 17, 2020

Van Gogh, Gauguin brothel letter sells for 210,000 euros

Asian Art Museum to remove bust of patron. That's just a start.

Toomey & Co. Auctioneers to present 'Art & Design' sale on June 28

New Mexico takes down statue of its conquistador

White Cube opens an online exhibition of new work by Tracey Emin

Freeman's sets new world auction records in American Art & Pennsylvania Impressionists auction

Pace London opens an exhibition of new works by Light and Space master James Turrell

Christie's to offer an important rediscovery by Soulages from 1950

Rock 'n' roll memorabilia from a roadie goes up for bid at Turner Auctions + Appraisals

Almine Rech now represents Kenny Scharf

Czech sculptor creates 3D-printed floating house

Rupert Hine, synth-pop music producer, dies at 72

Artcurial announces sales dedicated to design, Art Deco and Scandinavian design.

Ancient Resource Auctions' announces online Summer Antiquities Discovery sale

Ralph Caplan, design critic big on sit-ins but not chairs, dies at 95

Black director says France 'in denial' of its racism and its past

Phillips announces 'Tailor-Made: Fashion Photographs from the Collection of Peter Fetterman'

'Justice for All' by Yinka Shonibare CBE on show to mark the reopening of Stephen Friedman Gallery

Kehrer Verlag to publish 'Nowhere to go but Everywhere' by Dotan Saguy

National Portrait Gallery announces NPPP and Darling Prize People's Choice awards

Christie's Jewels announces global sales calendar, June & July 2020

Antique gold and platinum pocket watches tick with precision as they await start time at Morphy's

New Yorkers will experience new monuments this summer at Socrates

What to do if your insurer refuses to pay your business interruption claim

DIY Llama Art Projects and Craft for Kids

How to dropship art from AliExpress

Groundbreaking 360-degree projection screens on outside of Hirshhorn Museum building Expands Gift Offering, Adds Lockdown Special Gift Options

Museums, Exhibits, Artists, Milestones, Digital Art, Architecture, Photography,
Photographers, Special Photos, Special Reports, Featured Stories, Auctions, Art Fairs,
Anecdotes, Art Quiz, Education, Mythology, 3D Images, Last Week, .


Ignacio Villarreal
(1941 - 2019)
Editor & Publisher: Jose Villarreal
Art Director: Juan José Sepúlveda Ramírez

Royalville Communications, Inc
Founder's Site. The most varied versions
of this beautiful prayer.
to a Mexican poet.

The First Art Newspaper on the Net. The Best Versions Of Ave Maria Song Junco de la Vega Site Ignacio Villarreal Site
Tell a Friend
Dear User, please complete the form below in order to recommend the Artdaily newsletter to someone you know.
Please complete all fields marked *.
Sending Mail
Sending Successful