Businesses that are affected by the COVID-19 pandemic will be
asking what insurance coverages may be available to them for the
damages and losses that they are now or may soon be suffering.
Since policies often have strict notice requirements, it would be
prudent for businesses who are affected to review their policies
now, to see what coverages may be available. Whether an insurer
will cover a particular claim or set of losses will depend on the
wording of the policy and the facts underlying the claim or
loss.
Business Interruption
Business interruption insurance is typically included with
first-party commercial property insurance. In a typical policy, the
insurer will agree to pay for the actual loss of business income
the insured sustains due to the interruption of the insured's
operations, while they are being restored, where the interruption
was caused by direct physical loss, damage, or destruction to
property, which was caused by a covered peril. Thus,
