When natural disasters occur that damage a business, it is often the case that filing a business interruption claim is only your option to obtain compensation.
If your business is left unable to sell due to inoperable facilities, business interruption compensation can provide the funds needed to navigate the difficult recovery period. In some cases, coverage will even pay for businesses’ losses that occur after your company reopens.
LouThe Role of Business Interruption Insurance
Business interruption insurance provides coverage for a number of common harms faced by businesses including situations where exiting or entering a business is impossible or difficult (ingress/egress), inability to access important services (like communication, electricity, gas, heating, and water), economic loss caused by suppliers being unable to reach the business, and interruption due to police or military.
Business interruption insurance is particularly valuable. It is common for insurance carriers to attempt to deny policyholders this coverage, which can lead to a number of problems. The longer that a business waits to receive compensation, however, the more losses accrue that require relief.
Advice on Pursuing Business Interruption Compensation
Some of the helpful steps that you should remember to follow to obtain compensation for a business interruption claim include:
- File a claim with your insurance carrier immediately. This makes it easier to argue that all of the losses that end up accruing are related to the interruption.
- Review your business interruption policy and determine exactly what is covered. If you have any questions about the extent of your policy, it is a wise idea to speak with your attorney.
- Mitigate the damage in any way possible. While you should avoid placing yourself or any company workers in the position to be harmed, there are often some steps that you can follow to circumvent any unnecessary losses.
- To receive compensation under a business interruption policy, you must provide documentation about a company’s revenue-generating abilities before the interruption. As a result, it is often critical to have financial records that establish the extent of these losses.
- The amount of compensation that you end up receiving for a business interruption will be based on the losses that a company ends up facing. As a result, during this time, you should make sure to keep detailed records.
- It is important to understand that if you need a contractor to perform repairs, you have the right to select a contractor of your choosing to perform the work. It is often a good idea to receive multiple bids and then to factor things like cost and availability into your ultimate decision of which contractor to choose.
- If you encounter issues in pursuing a business interruption claim, it is a wise idea to promptly obtain the assistance of an experienced insurance claim attorney. Bad faith insurance claims are particularly common and it can be challenging to navigate the hurdles that arise in obtaining compensation.
Speak with an Insurance Claim Lawyer Today
There are a number of challenges that can arise in pursuing a business interruption claim, but an experienced attorney can help greatly. Contact Louisiana Hurricane Claims Lawyer today by scheduling an appointment online or call us to schedule a free initial consultation.
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