The 2020 novel coronavirus is taking a significant toll on business owners across Missouri. Unfortunately, many companies were forced to close their doors and wait in limbo until the coronavirus pandemic comes to an end. Most business owners across the country purchase insurance policies to provide compensation to them for any losses. In some cases, businesses purchase business interruption policies to provide adequate coverage to them during and immediately after shutdowns due to disaster situations.
Unfortunately, many business owners are finding that insurance companies are not willing to provide them the coverage they rightfully deserve. It is crucial that businesses understand what business interruption coverage provides, as well as what rights they have after being denied coverage from their insurance company.
What is Business Interruption Coverage?
Business interruption insurance is a type of insurance policy that is critical for ensuring that businesses can bounce back quickly after disasters. These insurance policies provide various types of coverage for business owners, including:
- Compensation for lost income due to having to vacate a property due to natural disasters
- Covers lost revenues based on financial records
- Provides compensation for operational expenses, such as gas and electricity
It is crucial to make sure the policy limits are sufficient enough to cover your company throughout the closure. These policies generally require a 48-hour waiting period before coverage kicks in. Business owners need to understand the price of the policy is usually related to the risk for damages caused to the premises as a result of another disaster.
Restaurants and COVID-19
Restaurants and the food and service industries are some of the hardest-hit industries in the country by COVID-19. Restaurants are suffering from the effects of COVID-19 like The French Laundry are not only discovering the importance of business interruption coverage but also the impact insurance companies denying coverage can have as well. For over 26-years, Chef Thomas Keller has run multiple restaurants successfully. One part of ensuring his businesses are able to continue operating is by thoroughly planning for disasters, like the one we are currently.
Unfortunately, Keller and others in the same position are finding that insurance companies are denying claims for coverage in bad faith. Not having adequate financial resources available is having a devastating impact on businesses and their ability to recover.
Insurance bad faith occurs when insurance companies wrongfully deny coverage, in full or in part, to businesses even though they rightfully deserve the coverage. The actions of some of these insurance companies can have a detrimental impact on the ability of some of these businesses to stay afloat throughout the COVID-19 pandemic. When businesses are subjected to these horrific and unethical actions, it is crucial that they seek legal assistance as soon as possible.
Monsees & Mayer, PC Can Help You
Businesses across the United States should not be forced to postpone their abilities to recover from economic downfall due to the immoral action of insurance companies. If your business has been denied adequate and timely coverage through your insurance policy, contact our insurance bad faith attorneys in Missouri at your earliest convenience to see how we can help you.
Our team at Monsees & Mayer, PC understands the challenges businesses throughout Missouri face while dealing with the devastating economic consequences of the COVID-19 pandemic. The very last thing business owners need is to be forced to deal with these unpleasant circumstances due to immoral insurance companies. Contact our team at (816) 361-5555 to get the compensation you deserve.