The recent developments of COVID-19 have imposed a tremendous concern for all of us not just personally but financially in how it affects our businesses. Our staff has already heard from many of you with the question "Does our policy provide coverage for Loss of Income due to the COVID-19 pandemic?".
While it is possible for a Commercial Property policy to extend coverage for loss of income "due to a covered peril of a direct physical loss", typically a communicable disease may not be a covered peril. But as your agent we don't want that assumption to keep you from taking action. We want to emphasize that the final decision of coverage should come from the insurance carrier and their claims adjuster, not our agency staff. Each business may have different circumstances related to a downturn and/or closure of your business. Should you decide to pursue a claim, we recommend that you file a claim with the respective carrier for a final decision that pertains specifically on how your business is affected. If you’re unsure of how to file the claim, please contact your Account Manager for assistance.
Also, we are looking at ways to help offset your insurance costs during this time. Here are considerations:
- If your policy is based on Payroll or Gross Revenue, we may want to consider lowering those estimates for your policy period.
- If you are having trouble making premium payments, most carriers are offering adjustments to pay plans, extending cancellation notices and waiving late fees.
- We don’t have exact answers yet but we’re working with our carriers to find ways to potentially reduce liability limits on Business Auto Fleet policies where some of the autos are not able to operate due to the COVID-19 pandemic.
Please reach out to your Agent and/or Account Manager to discuss any of these issues. We have successfully executed our contingency plan and have 90% of our staff working from home at full speed with phones and computers so that we don’t cause a delay in servicing your valued business.
Our prayers go out to everyone affected by this with the confidence that we WILL recover!
D. Shane Sinquefield