COVID-19: Insurance

Will my insurance company pay business income if I have to close my office?
Most likely, no, since business owner’s policies typically require “direct physical loss” in order to trigger a business income claim. When in doubt, file a claim since only your insurance carrier can make a final determination.  

If an employee contracts the coronavirus, does workers’ compensation provide coverage? 
An employee who contracts the coronavirus while at work might have coverage under workers’ compensation, but the burden of proof would be on the employee to prove the triggering event of the illness arose out of employment and occurred in the course of employment. Your insurance carrier will evaluate each claim on its own individual set of circumstances.  

If I contract the coronavirus, will my long-term disability income (LTD) policy provide benefits? 
Typical LTD policies have a 90-day waiting period before benefits are compensable. Check with your carrier on your individual policy specifics. 

Will my group short-term disability income (STD) policy provide benefits if one of my employees contracts the coronavirus?
Typical STD policies contain relatively short waiting periods. Check with your carrier on the policy specifics.

*This information and any hyperlinks are provided as a benefit of your ISDS membership and should in no way be considered as legal or financial consulting advice.  Please always seek the advice of an attorney, financial advisor, accountant, or other trained professional, as applicable.