As we wrote earlier this week, legislators continue their
efforts to address the enormous cost of
business continuity losses. Most recently, Representative Mike
Thompson of California, introduced H.R.6494, labeled
the "Business Interruption Insurance Coverage Act of
2020".
The draft Act is broad in scope. Section 1 of the draft Act
requires "each insurer that offers or makes available business
interruption insurance coverage" to "make available, in
all of its policies providing [such coverage], coverage for losses
resulting from" "any viral pandemic"; "any
forced closure of business, or mandatory evacuation, by law or
order of any government"; or "any power shut-off
conducted for public safety purposes". The draft Act does not
specifically reference or tie in such losses to coronavirus or
COVID-19 response efforts.
