Insurance Recovery Group Presents: Business Interruption Webinar

TL;DR

Business owners impacted by COVID-19 closures should file a claim for business interruption, as coverage may be available despite insurance company denials.

Transcript

• And we are live. Welcome to Phil's first party parlay, where we talk all things insurance industry related. We have timely and topical topics for the insurance restoration industry. I'm Phil Sanov, trial lawyer, with Morgan & Morgan's Insurance Recovery Group. With Morgan & Morgan's Insurance Recovery Group, I have got 55 of the most awesome atto... Read More

Key Insights

• 👨‍💼 Business owners should file a claim for business interruption, regardless of insurance companies' messaging denying coverage.
• 😚 Coverage for business interruption includes lost income and extra expenses resulting from the suspension of operations.
• 🛄 Policyholders should consult experienced attorneys specializing in insurance claims before attempting to interpret policies on their own.
• 🔑 Insurance policy exclusions must be interpreted narrowly, and insurance companies' denials should not be the final word on coverage.
• 👨‍💼 Collaboration among attorneys and public adjusters can help ensure the proper handling of business interruption claims.
• 👨‍💼 Small business owners should be cautious of claims denial by insurance brokers who may prioritize insurer interests over policyholders.
• 👨‍💼 Understanding the policy triggers, such as "direct physical loss of or damage to property," is important in interpreting business interruption coverage.

Questions & Answers

Q: How can business owners obtain a copy of their insurance policy to understand their coverage?

Business owners can request a copy of their policy from their insurance broker or directly from their insurance company. It is recommended to consult with an attorney experienced in insurance claims to review the policy.

Q: Should business owners wait for a denial from the insurance company before seeking legal assistance?

It is advisable to consult with an attorney and file a claim as soon as possible, rather than waiting for a denial. Experienced attorneys can help ensure the claim is properly filed to maximize coverage.

Q: Are business interruption claims affected by funds received through the Paycheck Protection Program (PPP)?

Receipt of PPP funds does not automatically invalidate a business interruption claim. Insurance companies may attempt to offset the claim by the amount received through PPP, but this may not be valid depending on the policy and circumstances.

Q: What is the importance of choosing experienced attorneys for business interruption claims?

Choosing attorneys with extensive experience in insurance claims is crucial to navigate the complexities of these cases. Inexperienced attorneys may make mistakes that can impact the outcome of the claim.

Summary & Key Takeaways

• Mark Nation, an experienced insurance claims attorney, discusses business interruption claims and the importance of filing a claim for losses due to COVID-19 closures.

• Business interruption coverage includes compensation for lost income and extra expenses incurred due to the suspension of operations.

• Insurance companies may wrongly deny claims based on misinterpretations of policy language and exclusions, but policyholders should not be discouraged and should consult experienced attorneys.