Business Interruption Claims for Losses Incurred by Pandemic

Posted by: on Thu, Apr 30, 2020

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losses due to pandemicThe economic wreckage caused by COVID-19 is almost unimaginable. Millions of businesses across the country have had to shutter their doors to protect their employees and customers. Such disruption is especially difficult for small businesses. No matter how prosperous and profitable your company was before the pandemic, it is impossible for you to carry on indefinitely without a fresh inflow of cash.

To get through this crisis, you may need to invoke your business interruption insurance. This is separate from property insurance whichcovers facilities that have been damaged by fires, floods, and earthquakes. The financial losses you have sustained as a result of the pandemic may be covered under your commercial property insurance policy. You will need to read the exact terms and conditions of this policy to determine whether it includes business disruption coverage.

Here are some of the contingencies and events that you should look for:

Coverage for lost profit resulting from a disaster
Coverage for losses from damage or lost access to suppliers of business-critical materials
Coverage for losses attributable to government-ordered closures
Coverage for losses owing to any non-purposeful cause except those specifically excluded

You may read your insurance policy closely and remain unsure about whether it covers the disruption and losses you have suffered because of COVID-19. That is okay. Contacting a lawyer who specializes in Las Vegas business interruption insurance claims will help you determine your rights.

Business interruption insurance may cover the following:

Loss of profits
Operating expenses and other costs

Temporary location expenses

 

If you put in a claim and are denied, you should not necessarily give up without first seeking legal counsel. In past natural disasters, courts have forced insurance companies to pay for the costs incurred by companies that have sustained financial damage.

The law firm of Albright Stoddard Warnick & Albright has lawyers who specialize in Las Vegas business interruption insurance claims. If your company is on the brink of financial disaster owing to the pandemic, you should contact Albright Stoddard Warnick & Albright.