18 Mar Coronavirus – COVID-19 Insurance Questions and Answers
We understand that everyone has questions about how the Coronavirus or COVID-19 will affect their business and family. We want to take a minute to try and answer some of the most common insurance questions we have been asked in the last week.
Does my Business Owners Property (BOP) policy help pay for loss of Business Income due to the Coronavirus?
No, this coverage is to help pay for loss of income due to a covered peril halting your business operations due to property damage. What this means — because the virus has not destroyed the property your business operates out of, you do not have coverage. A lot of BOP and other Property insurance policies even include exclusions saying there is no coverage if your business operations stop due to any virus, bacterium, or other microorganisms that induce or can induce physical distress, illness or disease.
Does my General Liability Insurance help pay for losses in income I have incurred due to the Coronavirus?
Maybe. The only way to know for sure is to turn a claim into your insurance company with proof of loss due to the Coronavirus (Covid-19). Coverage can vary from state-to-state and some policies contain communicable disease exclusions, which means you would not have coverage from COVID-19.
My business was shut down by the State or Federal Government. Do I have coverage under my insurance policy for that?
More states are mandating bars, restaurants, pubs, and large gatherings be shut down to decrease the spread of COVID-19. If your business was one of the many told to close their doors to the public, you may not be covered for income lost from forced closure. Civil Authority applies when a government entity denies access to the insured property. Unfortunately, it does not give coverage in this case where closures are a preventative measure due to a virus.
What happens if my employees get sick at work?
If an employee is found to have a positive diagnosis with COVID-19 it does not mean they need to file a worker’s compensation claim. Claims should only be filed when employees believe they contracted the virus on the job. To learn more about how and when to file a claim with your worker’s compensation insurance read this helpful article from SAIF.
Will my employer provide health insurance or creditable health insurance coverage to cover my COVID-19 testing/treatment?
The State of Oregon and all creditable health insurance providers are paying for all testing and treatment of COVID-19 even for those individuals on a high deductible health insurance plan. If you have the symptoms contact your nearest testing facility and stay home.
What if I operate a restaurant, bar and grill or any other retail business and want to provide home deliveries of food or goods?
You should contact your insurance agent immediately to discuss the business auto exposure of deliveries.
Normally, most of these types of businesses will not include coverage for delivery, so it needs to be addressed before you decide to make deliveries.
Don’t forget to update your coverage as your business changes.
If you are adding delivery drivers or daycare for your workers make sure to update your insurance. If you are a contractor make sure to update your sub and employee numbers. Keeping your insurance up to date can help you save money on your premium.
Hopefully, we helped answer a few questions you might have on how your insurance policies will be supporting your business due to the coronavirus. If you have any questions or would like to file a claim, let us know by contacting your claims department, agent or by calling 1-800-452-6826.