In an annual report compiled by more than 2,700 risk management experts from 92 countries and territories, business interruption was named the top global peril in global insurance-related risks. In fact, the report indicates the potential disruption and loss for businesses due to business interruption, outbreaks, and cyber incidents will continue to dominate much of the risk landscape on a global scalefor years to come, despite the increase in vaccinations.
While the report provides insight into just how broadly the effects of the pandemic have impacted businesses, proposed state and federal insurance legislation may help facilitate recovery. Currently, several states are considering laws that would require insurers to cover pandemic-related losses under business interruption policy provisions.
Commercial Insurance Claims in 2021
COVID-19 created a tumultuous environment for business owners. Lockdown measures, capacity restrictions, and newly implemented safety measures caused many to shut their doors indefinitely. Now, coverage options continue to become increasingly narrow as premiums are increasing and the decreasing probability of not being able to renew an existing policy. Furthermore, policies that can be renewed will likely have more exclusions. Despite these hurdles, business owners should continue to review the policies they have in place to ensure they have sufficient coverage should the unexpected happen.
Even with the continued threat of a global pandemic, no business is immune to property damage from a fire, flood, windstorm, or even vandalism. While many anticipate that insurers will work with policyholders to help them recoup losses due to damaged property, the harsh reality is that insurers are unlikely to pay valid claims. This leaves companies in an increasingly vulnerable place should their commercial property become damaged and/or unusable for a period of time. When these devastating events occur, it’s important that business owners reach out and obtain the knowledge and insight of an insurance coverage attorney.
Houston Insurance Coverage Attorneys
Navigating the complexities of running a business during a global pandemic is no small feat – especially when the unexpected happens. While insurers will attempt to deny claims in order to avoid paying policyholders what they are rightfully owed, our insurance lawyers are experienced in helping businesses receiving the maximum amount owed under its policy or policies. At Raizner Law, we have successfully handled thousands of complex insurance disputes against the top insurance companies in the world. If you need assistance, contact our office today for more information on how we can help.