ARTICLE
When the governors of several states closed non-essential businesses, it was recommended by many lawyers that businesses look at their insurance policies to see if business interruption coverage or civil authority coverage might be available. This coverage typically lets business owners recover certain losses in the event that their business incurs physical damage or loss that prevents it from operating. Civil authority coverage allows businesses to recover losses when the government orders them to close, thereby eliminating their ability to operate. Because most policies require policyholders to submit prompt claims, businesses are often encouraged to do so immediately, even if their claims are denied. During our meeting with Anthony Profaci of JBL Trinity Group, the RSA's partner insurance provider, he agreed that this is something that businesses owners need to do. Now that all 50 states have issued these orders, it's important that you file a claim with your insurance carrier. Here comes the difficult part...many insurers are claiming that because it's related to a virus and there's no physical damage to your business, it's excluded. In fact, many policies, if not most, specifically exclude coverage for viral contamination. Now, members of congress are taking action and urging insurance companies to cover these losses. New Jersey, New York, Ohio, Louisiana (two separate bills: HB585 and SB477, South Carolina, Massachusetts and Pennsylvania are all working on legislation that requires insurers to cover such losses, but insurers are arguing that doing so because of a virus could completely bankrupt them. The National Association of Insurance Commissioners has urged Congress not to move forward with such legislation. Business owners are encouraged to check their policies to see if it addresses virus losses, civil authority or otherwise. Some businesses are sidestepping the entire virus issue and addressing it through other loopholes that may be considered. We encourage you to file your claim with your insurance company. If you are using the RSA's preferred insurer, JBL Trinity Group, members are askedto send an email to their Beth Blaho at BethBlaho@jbltrinity.com with the following information: Nature of your claim: Business Interruption Name of your insured skating center Your rink's physical address Your name Your email address Your Cell phone (you may include your rink phone number, but in the interest of time, a way to reach you immediately is preferred) Date that you were closed down by your city/state We will keep you informed on these legislative matters as they continue.