In continuing to reach out to friends and clients in recent days to see how they are faring at this challenging time, I was interested to learn from Marshall Wunderlich, Area President at Gallagher, how busy he is working from home to advise clients about insurance strategies that companies need to know in the wake of the emergency order to shut down physical workplaces in Pennsylvania that are not life sustaining due to COVID-19. I thought the following strategies Marshall shared would be of help to you.

1.    Insurance To Cover Lost Revenue

While business interruption insurance does not typically cover lost revenue for a pandemic, the federal government may step in and mandate it do so.  Because your company has nothing to lose and everything to gain if this mandate is realized, as a protective measure, you should do the following now:

a.) Document business interruption losses;

b.) Submit a claim promptly. Most policies include a claim reporting provision. Do not delay or you may lose the right to make a claim and;

c.) Getting a claim number will get you in line on a first come, first serve basis to receive coverage, should the government mandate insurance companies cover lost revenue. Like all programs, funds are expected to be limited, if any.

2.    Credit Insurance

This insures accounts receivables and is important to have in place to achieve ratios required by lending institutions.

3.    Cyber Risk Insurance

This risk is huge right now as hackers prey on people working from home that have less protection than at their workplace.  Companies simply can’t afford to have another interruption that isn’t insured during these challenging times.

Special thanks to Marshall Wunderlich, Area President at Gallagher for his contributions to this article. A Claims Reporting Guide and more resources are available at https://www.ajg.com/pandemic

All information herein is from sources deemed reliable, but no warranty, expressed or implied, is made.

About the Author