New York State Business Interruption Insurance Lawyers
In your worst nightmare, you never imagined anything as disruptive as the pandemic’s effect on your business. As Governor Andrew Cuomo declared mandatory closings, you took some comfort in this terrible time, knowing you had paid your premiums for business interruption (BI) insurance. However, that was soon cold comfort when your insurer informed you that your BI insurance did not cover pandemic-related losses.
Even if the insurer informed you that your business was not covered, it is imperative to file a BI insurance claim right away. While denial is virtually guaranteed, it is critical to have the denial on the record to take the next step with an attorney. As long as a claim is filed, the insured has the right to dispute the denial. That is not the case when someone fails to file a claim because they were told not to by an insurance representative– or that it was a waste of time due to automatic denial. Insurers peddling such misinformation may prove subject to malpractice lawsuits.
A New York State business interruption insurance lawyer at Douglas and London will review your policy’s language to determine whether there are elements that support your BI claim. As with all policies, the fine print is very important.
Business Interruption Insurance
Property damage is the usual trigger for a business interruption claim. In the case of the coronavirus, affected businesses did not suffer property damage per se. In addition, most commercial insurance policies specifically exclude damage caused by viruses and other microorganisms. The SARs outbreak earlier this century prompted that determination.
Standard language in most business interruption insurance policies states that coverage applies when a civil authority’s actions prevent access to the business. State and city governments shutting down all non-essential businesses are indeed civil authorities.
Class Action Lawsuits
Insurance carriers in New York State and nationwide have made it plain they do not intend to pay pandemic-related business interruption claims. Just because that is the clear position insurers have taken does not mean that clients who paid their premiums have no recourse. Keep in mind there is not yet any binding court decisions regarding whether a virus exclusion is enforceable. Businesses also did not have the option to purchase insurance that would cover virus and bacteria-related interruptions.
Class action lawsuits are being filed against insurers for coronavirus claim denials.
Contact our team of New York State Business Interruption Insurance Lawyers
If your insurance company denied your business interruption claim due to the pandemic, you need the services of a New York State business interruption insurance attorney at Douglas and London. We offer free, confidential consultations. Schedule an appointment by completing our online contact form or calling or texting 24/7.
After reviewing your insurance policy, we will discuss your options, including joining a class-action lawsuit. We will also keep clients abreast of the ever-evolving legislation regarding insurance carriers and business interruption insurance. Over $4 billion has been recovered for clients in settlements and verdicts by our dedicated attorneys. There is never a fee unless you receive compensation. Hablamos Español.