Plant closure due to Corona- Does the insurance have to pay?

Plant closure due to Corona

Many retail companies currently had to close their stores due to the Covid19 pandemic. Affected companies that have business closure insurance were initially somewhat "relieved". They thought that their financial loss could be cushioned somewhat by the business closure insurance.

Insurers try to evade their obligations

Currently, however, many insurance companies are trying to evade their obligation to pay. Policyholders are told that there is no insured event or that the question of whether an insured event actually exists is "highly questionable. The policyholders are therefore offered a "compromise solution", which usually provides for a payment of 10-25% of the contractually agreed claims.

Should I accept the compromise proposal?

If the policyholder signs this "compromise solution," all claims are thereby settled. Companies are therefore faced with the question of whether they should accept the "compromise solutions" offered.

In the following video, attorney-at-law Dr. Josip Kuvac discusses the current problem on the basis of a current example case from his practice and explains in this video which legal arguments insurance companies produce here and also evaluates how valid these arguments of the insurance companies actually are.

If you also have questions about your business closure insurance, please feel free to contact us using the form below. We will get back to you as soon as possible. If you wish, you can also enclose documents via the contact form. This way, we can check your documents as part of our free initial review and see how we can best help you.