COVID-19 RESOURCES FOR RETAILERS
  • Home
  • Resources
  • Blog
  • FAQ
  • Call to Action
  • Connect

The news you need.

Why Many Businesses Will Be on the Hook for Coronavirus Losses Talks about how insurance companies will now exclude epidemics in standard business interruption policies

3/19/2020

0 Comments

 
The coronavirus is proving costly for global business—and insurance won’t be much help.
With large parts of China in lockdown and other Asian countries on high alert, the virus, which causes an acute respiratory disease called Covid-19, has disrupted shops, hotels, airlines, factories and much else. Multinationals including Apple and Starbucks have closed many outlets in mainland China.
​

It has some companies poring over insurance policies in hopes of filing a claim for losses from business interruptions. “We are getting lots of questions about it,” said Gisele Norris, a strategic account manager at insurance broker and consultant Aon PLC, and co-leader of its global infectious disease task force.

The odds aren’t great. Insurers and reinsurers learned a costly lesson from severe acute respiratory syndrome in 2002-03. In Hong Kong, HK$325 million ($41.8 million) was claimed for business interruptions from SARS; hotel chain Mandarin Oriental International Ltd. alone recouped US$16 million from its insurers, led by American International GroupInc.

Now insurers across the board exclude epidemics in standard business-interruption policies, which mainly cover property damage from events such as fire, terrorism and natural catastrophes.
Continue Reading
0 Comments



Leave a Reply.

    Is your question not addressed in these resources?
    Join our Private Facebook Group for Restaurant and Retail Owners to ask your peers if they are facing a similar issue and find out their solution suggestions. 

    Archives

    June 2020
    May 2020
    April 2020
    March 2020

    Categories

    All
    Commercial Real Estate
    Employment
    Insurance
    Paid Leave
    Prevention Tips
    Remote Work
    Rent Abatements
    Restaurants
    Retail News
    San Antonio Relief
    SBA Loans
    Short On Time? Don't Miss These!
    Webinars

This website is underwritten by Foresite Commercial Real Estate to provide a a non-profit resource to the retail industry impacted by COVID-19.  If you would like to support this resource please do so by purchasing goods or services from a local retailer near you.
Picture
  • Home
  • Resources
  • Blog
  • FAQ
  • Call to Action
  • Connect