Although many general insurance policies for business interruption will have an exclusion for claims caused by a pandemic, we want our clients to be aware you should not assume that any business interruption policy you have does contain that exclusion, or even when it does, that means you don’t have a valid claim still.
The terms and conditions of your insurance policy are contained in a written policy document and form part of the contract of insurance. Like any other legal document it needs to be properly read and considered as to what is covered or not.
If your business is disrupted in the current environment created by the Covid-19 virus, and in particular because of a closure forced by government, a strict reading of the terms of your insurance policy may mean your claim is valid even if there is an exclusion clause for pandemics. For example it may be that the government closure has caused your loss and not the pandemic. Especially so in regional Queensland which has not been to this time the location of many diagnosed cases of Covid-19, if any in some parts. Generally exclusion clauses are construed strictly against an insurer.
If you have a business interruption insurance policy and believe you have suffered losses that should fall within the coverage of the policy, but are uncertain as to whether a pandemic exclusion could prevent your claim from being successful, or your claim already made is declined by your insurer, we recommend you seek advice from your solicitor at Macrossan & Amiet Solicitors. We will need to be instructed with a full copy of your insurance policy.