Broker Check

Coverage for Coronavirus Claims

March 19, 2020

To the question "Are Coronavirus claims covered?" the all-purpose short answer is "It depends". Policy wording, specific circumstances and, in the long run, court decisions will be determinant. That said, here are some general thoughts.

Business interruption: Two general bars to coverage are:

  1. A requirement for physical damage
  2. A "Virus or Bacteria" exclusion.

Some policies may be broadly written and not contain these restrictions.

Workers compensation: Healthcare workers who get sick from patient contact should be covered. Other workers probably would not be, unless they can point to a specific exposure that caused their illness.

General liability: Some policies have a "communicable disease" exclusion as an endorsement.

Employment practices liability: Depending on policy language and circumstances, allegations of unsafe working conditions causing illness, or failure to provide sick leave or family leave may be covered especially if retaliation is part of the claim.

The website is a source for more detailed answers. Beacon policyholders with specific policy questions should consult their account manager.

For more questions about your specific coverage and how it pertains to the Coronavirus outbreak, feel free to schedule a 10 minute intro call with our expert Steven Sharkey below: