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COVID-19: Business Interruption Insurance


COVID-19: How To Make An Insurance Claim For Business Income Loss And Interruption


A business owner’s policy or commercial property insurance frequently includes business interruption coverage. 

This protection is designed to cover the losses of the property owner or business if a fire, natural disaster or other 

major issue prevents a business to continue operating normally. With Covid-19 raging across the world, the 

government is forcing an increasing number of businesses to temporarily close their doors. This represents a 

significant loss of income.


Does business interruption insurance cover these losses? 

Whether such losses are covered or not really depends on the interpretation of the words and language of the policy. 

Before you contact your insurer, consult with Your public Adjuster 

You can rely on us to provide a fair interpretation of your policy’s words and language. This increases the chances of 

getting the compensation you deserve for your business interruption claim. 

WHAT IS COVERED BY BUSINESS INTERRUPTION INSURANCE? Business interruption insurance generally cannot be purchased as a stand-alone policy. Instead, it is one component  of a broader business owner or commercial property policy. 

Claims under business interruption insurance might cover things like: 


• Taxes 

• Employee wages 

• Lost profits 

• Loan payments 

• Relocation costs 

• Rent or lease payments 

DOES BUSINESS INTERRUPTION INSURANCE COVER COVID-19? There is no straightforward answer to this question. Many insurance companies already exclude coverage for  business closures that result from bacterial or viral illnesses. The early 2000s SARS epidemic is responsible for this  exclusion becoming part of most of these policies.

This is because the “damage” caused by the Coronavirus isn’t visually apparent. A business owner cannot point at a 

drill press, copier, or oven that has been damaged as a result of the virus. 

Still, their business cannot operate and they are definitely losing income. It may be possible for Your public Adjuster 

to argue that the Coronavirus nonetheless caused damage. This is if the virus is actually found to be within the 

confines of the business. 

ASK PUBLIC ADJUSTER A business owner who contacts their insurer about coverage with regard to Covid-19 closures is likely in for a  frustrating experience. Most insurers will issue a flat denial, saying that none of their policies cover loss of income 

related to a virus. 

However, the answer is rarely that straightforward. Entrepreneurs are encouraged to contact Public Adjuster for a 

full policy review. This may demonstrate that all virus- and bacteria-related losses are not covered under the policy. 

Nonetheless, there is a possibility that the business owner may be able to make a successful claim. 

Whether you are in the midst of a claim, have been denied, or have been offered a lowball settlement, you are within 

your rights to consult with Public Adjuster.


Call Your Public Adjuster today for reliable advice that you can trust. 

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