Business Interruption Insurance – What You Need to Know

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The stated purpose of business interruption insurance is to recoup lost income and cover certain expenses in the event of a calamity such as fire or natural disaster, which temporarily closes or causes an interruption or downturn in business.

Will Your Business Interruption Claim Be Covered?

Given the complexity of business interruption insurance policies, you need an experienced lawyer on your side who knows how insurance companies work, their tactics, and their weaknesses. At Clayton Trial Lawyers, we have won millions of dollars in settlements and jury awards in insurance cases. We know how to win.

Some of the usual reasons why an insurer might deny a claim include suspected fraud; improper or untimely filing; insufficient documentation; and exclusions under the policy. For COVID-19-related damage, this last reason is the most likely argument.

Few policies specifically provide coverage for business interruption resulting from viruses or communicable diseases. This lack of clarity can actually work in our favor to get you payment. However, some policies do specifically exclude “communicable disease” or losses caused by “viruses.”

Most policies that do not include an exclusion for viruses or communicable diseases will require that the business interruption loss be the result of “direct physical damage.” Thus generally, the threshold issue will be whether the COVID-19 virus caused direct physical damage to your premises.  Although courts in other states have ruled that bacteria or harmful gas does constitute “direct physical damage”, there are no direct ruling on this issue in the State of Florida. This is just another reason why hiring a skilled and experienced attorney is so vital.

What Clayton Trial Lawyers Can Do for You

Having won significant settlements in lawsuits involving large corporations, we have the knowledge and experience to win your case. We will deal with the insurer’s agents for you; determine what documentation is necessary to support your claims; calculate damage and income loss, including hidden costs and losses you may not have considered; file accurately and on time; and negotiate a fair settlement in your favor.

If you have already been denied, we can still win an award or a jury verdict in your favor. We are not afraid to take cases to court, because we have a winning record with juries. We will review each of your policies in minute detail to find every opportunity available to compensate you.

Contact us at Clayton Law to see how we can help you get the compensation you deserve to keep your company strong in this difficult COVID-19 business environment.