Is there anything a Delaware business owner can do to challenge this?


Purchasing insurance isn’t a choice for Delaware residents, it’s a requirement. The law not only requires that residents carry a certain amount of car insurance and have some type of health care coverage, but most landlords also require business owners to carry commercial property insurance as well. If you live in Delaware and own a business, then you know carrying various insurance policies isn’t cheap, but in order to be protected from an unforeseeable event or accident, you must have it.

While most Delaware business owners are doing their part to stay protected (i.e. paying a portion of their insurance premium each month) in the event something happens and disrupts their business, insurers don’t seem to be holding up their end of the bargain. After COVID-19 was categorized as a pandemic, forcing many non-essential businesses to close, business owners filed claims with their insurers only to have them denied. According to The Washington Post, insurers are denying claims simply because they say they don’t cover pandemics.

A few years ago, after the SARS outbreak, insurance companies realized the burden they would face for business loss claims related to viruses or bacteria which is why they began adding exclusions to policies. As a result, insurers are now denying claims related to COVID-19 losses claiming they did not receive a premium payment for coverage that would cover such losses.


What should I do if my insurer denied my business interruption claim?


If you own a business in Delaware and your insurer has informed you that your policy does not cover losses related to a pandemic, there are steps you can take to challenge your carrier’s decision. Although a spokeswoman for Delaware’s insurance office has recommended that business owners discuss their policy with their insurers, it appears many insurers aren’t willing to budge on their decisions. Therefore, the next best thing you can do is hire a Delaware insurance claims attorney.

Given the current circumstances and the influx of claims insurance companies are receiving, it will likely be difficult for you to get anywhere with your insurer unless you are represented by an experienced and aggressive insurance claims lawyer. The fact is, insurance attorneys are able to interpret policies in ways the average policyholder cannot. Lawyers can identify certain clauses or wording that could potentially require an insurer to reconsider the denial or even reverse it. And if you were to hire a DE insurance claims denial lawyer with the help of and your insurer still denies your claim, then your lawyer can take the issue to court where it can be settled there.

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