As the COVID-19 crisis unfolds, businesses are looking to
insurers to bear the risk of unprecedented financial losses.
In a
previous Torkin Manes article, we canvassed
some of the key factors clients are considering in deciding whether
to present a claim for "Business Interruption"
coverage.
This type of coverage is typically triggered only when a
business experiences a loss of revenue or increased operational
expenses resulting from tangible "physical" damage to the
business' insured property. Accordingly, a business whose
factory has burned down will have a more straightforward claim for
business interruption coverage than a business which cannot operate
its factory due to COVID-19.
