Business Disruption

Helping Local Small Business Owners Affected by COVID-19

As the novel coronavirus pandemic continues to sweep across the U.S., prompting the mandatory closure of “non-essential” businesses, Oklahoma business owners are feeling the strain. Many who have been forced to temporarily shut their doors or limit their operations are turning to their insurance policies to see if their losses are covered by business disruption insurance.

If you are a business owner who has been affected by COVID-19, Aizenman Law Group is here to help. We know the typical challenges small business owners face, and we understand how these challenges have been compounded by the current coronavirus pandemic. Our Tulsa business disruption attorneys can review your business interruption policy at absolutely no cost to you. Our goal is to help local and small business owners during this time of uncertainty.

Because no two insurance policies are exactly identical, the best way to determine if you are covered or what your potential options may be is to discuss your unique situation with an experienced attorney.

We invite you to contact us today to schedule a completely free, no-obligation consultation with our attorneys, who can review your policy at no charge.

Understanding Business Disruption Insurance

While it’s true that the exact language of your business disruption policy will differ slightly from the next, most business disruption policies cover similar damages. The purpose of this insurance is to protect business owners in the event of certain “perils.” Typically, when a covered peril results in a direct physical loss, the business owner can collect compensation for his or her damages by filing a business disruption claim.

Covered perils typically include things like:

• Fires
• Theft
• Windstorms
• Lightning
• Falling objects (such as trees)

If a covered peril results in your business experiencing a direct physical loss, you can file a claim to assist with losses such as:

• Lost income
• Destroyed property
• Damaged merchandise, equipment, inventory, and other business assets
• Payroll expenses
• Costs associated with temporary relocation

Note that this is not an all-inclusive list; the exact language of your policy will determine what is considered a “covered peril,” as well as what damages you are entitled to receive.

Does Business Disruption Insurance Cover COVID-19?

So, the big question is: Does business disruption insurance cover COVID-19 related losses? Put simply, the answer is: It depends.

A substantial number of business disruption policies have specific exclusions for losses caused by viruses and bacteria. These exclusions were introduced after past pandemics, such as the SARS outbreak and the H1N1 swine flu health crisis. Additionally, even if your policy does not contain such an exclusion, it could be very difficult to prove that you suffered a “direct physical loss” as a result of COVID-19 and the government’s reaction to the pandemic.

Because the current health crisis is unprecedented in the U.S. in modern times, it is uncertain if or how business disruption insurance will cover related losses. That being said, it is unlikely that there will be a one-size-fits-all solution. Filing a claim, even if you believe you may not be covered under your policy, could be very important, as it creates a record of your damages as a result of the government-mandated business shut downs and partial closures.

We Are Here to Help

At Aizenman Law Group, we understand that this is an incredibly difficult time for everyone, including local small business owners. Your livelihood may be at risk, and our Tulsa business disruption claims attorneys are here to help. If you have any questions about your business interruption insurance policy or your various options for relief, please do not hesitate to contact our firm. We can answer your questions, review your policy, and provide the professional legal counsel or representation you need.

Call our office at 631-769-8431 today.