If your organization sustains COVID-19 losses, carefully examine your commercial property insurance policy for coverage. Although your insurer may deny coverage by claiming that your policy requires physical loss or property damage, do not accept that assertion. Adhesion or attachment of the coronavirus onto an insured’s property may constitute “direct physical loss” and trigger coverage
States Look to Business Interruption Insurance Coverage to Save Small Businesses from COVID-19
As COVID-19 halts commercial activity throughout the United States, states have jumped into action to preserve insurance coverage for small businesses. New Jersey led the way by proposing legislation requiring property policies to cover business interruption losses resulting from COVID-19:
“[n]otwithstanding the provisions of any other law, rule or regulation to the contrary, every policy
The “Physical Loss” Requirement for Business Interruption Claims Amid the Coronavirus
The massive economic disruption caused by the novel coronavirus pandemic raises questions about insurance coverage for business interruption losses from communicable disease. Does viral contamination constitute the “physical loss” required to trigger this type of coverage? Although courts have not yet provided guidance specific to COVID-19, past rulings suggest that coronavirus contamination may constitute physical