Spain Brazil Russia France Germany China Korea Japan

Artificial Intelligence driven Marketing Communications

Arizona Business Owners May Turn to Litigation if Their Insurer Fails to Honor Their Business Interruption Policy


Arizona Business Own

iCrowdNewswire   Apr 10, 2020  7:00 PM ET

Others have after their insurer denied their business interruption claim.

Although many non-essential businesses in Arizona were forced to close temporarily as a result of the COVID-19 pandemic, many are still expected to meet their monthly financial obligations (i.e. rent, utilities, loan payments, etc.) While many are hoping to receive a loan from the government as a significant portion of the $3 trillion CARE Act set aside money specifically for business owners, many may either not qualify for a loan or won’t be able to obtain enough to keep their business open.

So, what are business owners doing in the meantime to try and keep up with the financial obligations that come with being a business owner?

They are filing business interruption insurance claims. But that doesn’t seem to be providing them with the relief they need. In fact, insurers are denying business interruption claims left and right alleging pandemics are not covered. For some business owners, like Barbara Snowden who is the owner of a wig shop, this was her “last line of defense.” After Snowden learned that her claim had been denied, she was left feeling hopeless. But, rather than accept her insurer’s decision, she decided to fight back against it.

According to the Insurance Journal, Snowden, along with a dozen other business owners including celebrity chefs, Native American casino owners, etc. are suing insurance companies for refusing to honor their policies. Legal experts are predicting that these lawsuits are only the first of what will become “widespread litigation brought by policyholders.” Although many business owners are feeling as though their backs are against the wall and they have no choice but to sue, insurers are claiming that the “money that has been socked away” will be eaten up too quickly.

The American Property Casualty Insurance Association estimated that “potential continuity losses for small businesses could total $220 billion to $383 billion per month,” which would “easily zap the estimated $800 billion surplus that U.S. insurers have” put away [Source: Post-Gazette]. Insurers worry that if they are forced to pay out on some of these claims, they wouldn’t be able to provide relief for other losses.

 

Are you a small business owner in Arizona who had their business interruption claim denied?

If your business interruption claim was denied and you aren’t sure where to turn to for help as your insurer doesn’t seem willing to work with you, then contact USAttorneys.com. USAttorneys.com will place you in contact with an experienced Arizona insurance claim denial attorney who will determine what the best course of action is to get your issue resolved.



Contact Information:

Free Case Evaluation

Call Us: 800-672-3103






Keywords:    Arizona Business Interruption Insurance Lawyers

Tags:    Content Marketing, Extended Distribution, English