Manhattan Business Interruption Insurance Lawyers

The pandemic upended your world. Not only were you forced to shut down your business, but your insurance company denied your business interruption insurance claim. Without such protection, you face financial ruin.

Many policies specifically exclude coverage when the interruption results from viruses or bacteria.  Such exclusions were initially rooted in the SARS virus outbreak roughly a decade ago, after which such exclusions became common. However, no insurer offered policyholders the option to purchase business interruption insurance if they wanted viral or bacterial coverage.

Do not despair during this challenging time. A Manhattan business interruption insurance lawyer at Douglas and London can help you appeal your business interruption denial and navigate the complex law evolving on this issue. You paid your premiums based on trust that the carrier would be there for you if the worst happened. We will negotiate aggressively with your insurer so that you may receive the compensation you deserve.

Business Interruption Insurance

Generally, business interruption insurance only pertains when the interruption results from physical damage to the property. That usually involves hurricanes, floods, fires, or other natural or structural disasters. A pandemic does not cause that type of property damage.

However, many policies do not define what constitutes physical loss or damage. This ambiguity means courts will make the decision.

Business Interruption Insurance and Coronavirus

Currently, there is no New York requirement that the need for physical remediation of the premises– such as total disinfecting– constitutes property damage.

However, there is a bill currently before the state legislature, which would require coverage of “certain perils” during the pandemic.  If passed into law, every policy insuring against loss or damage to property– including loss of use and  occupancy for business interruption– must cover business interruptions “during a period of a declared state emergency due to the coronavirus.”

These requirements would extend to all policies in force on or after March 7, 2020, and issued to insured businesses with fewer than 250 eligible employees– working a minimum of 25 hours weekly. All policies expiring during a COVID-19 Emergency Period are automatically renewed at the prior premium price.

Keep in mind this legislation has not yet passed, and many experts expect further judicial decisions regarding this subject. If enacted, insurance carriers will undoubtedly appeal.

The Civil Authority Provision

Most commercial business insurance policies include a civil authority provision. These are standard in the majority of them. Since New York City non-essential businesses were shut down by government authority, policyholders should receive compensation when the government officially denies access to their place of business.

Contact our team of Manhattan Business Interruption Insurance Lawyers

If your insurance company denied your business interruption claim, seek legal help right away. A business interruption insurance attorney at Douglas and London will review your policy and let you know your options.

We offer free, confidential consultations. Call or text us 24/7 to schedule an appointment. Since we work on a contingency basis, you pay no fee unless you receive compensation. Our dedicated attorneys have recovered more than $4 billion for clients in settlements and verdicts. Hablamos Español.