Insurance claims are piling over claiming millions of dollars a month where the insurance companies are denying insurers their rights. Small businesses to well-established ones are suffering huge losses due to the pandemic where the food joints, hospitality, and entertainment industry is suffering a severe blow.
For the business owners investing in an insurance company to secure the business from uncertain situations is a decision that can be hard on the pocket. But, nonetheless, a business owner may decide to get it insured just to be on the safe side so that in an unfortunate time when a business suffers a glitch, it can vanquish it by using the money from the claim. The current scenarios are proving otherwise for the business owners. Now, when it is time to get the claim, the insurance companies are backing off saying that a pandemic is not a ground to seek for the Business Interruption Claim.
Seeing the severity of the situation, it is causing fear amongst the people and raising questions on the credibility of the insurance companies altogether. Many business owners are doubting that if they have been paying their insurances for the last 20-30 years for complete waste. Big names are coming forward to make a collaboration together against the insurance industry to force them to push out funds. The sight is not pretty and with big names joining in it is going to be quite an ugly fight.
What’s going on in the US? Will the business owners get their rights, or are their demands unjustifiable?
President Donald Trump has come forward in support of the insurers. In one of the interviews, he is seen saying that he has friends who are business owners running restaurants and they spend a good amount of dollars which they give to the insurance companies to cover them up for times like these. To be precise President Trump is favoring the business owners to get their claims from the insurance companies.
Talking about the restaurants who have been paying insurance for the last 35 years, he says, “they’ve been paying a lot of money for a lot of years. And then when they finally need it, the insurance company says, ‘we’re not going to give it’.” He further adds, “We can’t let that happen.”
The statement by President Donald Trump has raised red horns in the senate as well as in the Insurance industry. Few of the members of the senate have addressed the issue saying that if the insurance claims are given, which can be a huge sum of dollars can bring a great commercial economic strain to the insurers.
American Property Casualty Insurance Association (APCIA) has come forward with actual figures where they are saying that if insurance companies pass the claims for business interruption due to Coronavirus, the figures will reach some $255 billion to $431 billion dollars wrecking the insurance industry to a stage of insolvency.
Both sides that are the insurers and the insurance companies are talking about what is in their rights but definitely, there is a loophole that is causing such ruckus. Every insurance policy has set a legal format that it must follow. An insurance buyer is well aware of the benefits and other policy guidelines that can make the insurer eligible or ineligible from a claim. But, what if a policy says that in unknown circumstances beyond the control of a human, it will cover the business, and is now denying in case of the novel coronavirus.
Should I buckle up a Lawyer?
The subject is fumigating fire, and it is in one’s best interest to get the support of a lawyer if one’s insurance claim has been rejected. To know what the policy covers and if the insurance company is liable to pay the business interruption insurance claim, a lawyer’s insight can be greatly in your favor.
The times like these where we are under a crisis, uncertainty can haunt us. We don’t know much about what actions the Government can take as there are so many speculations and conclusions arising from it at the moment. Buckling up a lawyer will be a smart move.
Kirakosian Law Firm is in power dealing with the Business Interruption Insurance claim issues against the well-known insurance companies across the US. If you are suffering to get a claim amid the pandemic, Greg Kirakosian is your friend in need!