Pittsburgh Business Interruption Insurance Lawyers
Knowledgeable Business Interruption Insurance Attorneys Help Business Owners Navigate the Claims Process in Pittsburgh, PA
Running your own business is an incredibly stressful but rewarding experience, especially when you are able to build something that provides a comfortable life for yourself and your family and that provides employment to other people. However, all your hard work can come crashing down in an instant if your business is subjected to an interruption in operations. Without income coming into your business, you may quickly find yourself unable to cover your expenses and facing the prospect of having to shut down for good.
Fortunately, businesses may be able to purchase business interruption insurance. This insurance compensates a business for the loss of its income caused by an interruption in operations due to physical loss, damage, or destruction of business property. However, business interruption policies do not cover all kinds of business interruptions, and policies often have various exclusions to coverage. If your business has suffered an interruption in operations and you have a business interruption policy, you need assistance from experienced business interruption claims attorneys who can help you understand your rights to coverage under your policy and fight to get you the compensation you deserve. Contact Goodrich & Geist, P.C. to schedule a consultation to speak with one of our knowledgeable attorneys about your rights and options.
What Business Interruption Insurance Does and Does Not Cover
Business interruption insurance is often part of the liability and property damage policy that a business may have, or a business can purchase separate or additional business interruption coverage. A business interruption policy, at a minimum, compensates a business for the actual loss of its net income suffered due to the necessary interruption of business operations caused by the physical damage, destruction, or loss of property, resulting from a covered cause of loss. Thus, business interruption coverage will only pay out if the business must interrupt operations; otherwise, compensation for physical damage or destruction to business property must usually be claimed under the business’s property loss policy.
A business interruption insurer will pay compensation for the reduction in net income that results from the business’s suspension of operations due to a physical loss. However, insurers usually limit their liability to the loss of net income that occurs during the “period of restoration”, which is the length of time in which the damaged or destroyed property can be reasonably repaired or replaced.
A business interruption policy may include other coverages, including compensation for extra expenses that the business incurred that it would not have otherwise incurred but for the business interruption, compensation for service interruptions (e.g., water service, electricity, heating, internet) although there may be a limitation on interruptions caused by natural disaster, coverage for contingent business interruption, which is caused by the loss, damage, or destruction of property, such as suppliers or customers of the business, and coverage for interruptions ordered by civil or military authorities.
Generally speaking business interruption will not cover losses of business income not caused by physical damage to property, or caused by natural disasters such as flood or earthquakes, or short term interruptions (e.g. lasting less than 72 hours).
How the Business Interruption Insurance Attorneys at Goodrich & Geist, P.C. Can Help You Recover on Your Pittsburgh Business Interruption Claim
If you believe you have a business interruption claim, trying to file your claim on your own can be incredibly difficult, especially as you focus on trying to keep your business afloat without income. Business interruption claims often require extensive supporting documentation. At Goodrich & Geist, P.C., our business interruption claims attorneys can help you identify and collect the information you will need to support your claim for coverage, including payroll, financial statements, bank records, bills and invoices, and other records of your income and expenses.
Unfortunately, insurers may try to dispute your numbers in order to reduce the size of your claim. Our attorneys will aggressively fight back against efforts to reduce or outright deny your claim and will vigorously defend your rights to coverage under your policy. Our firm can also help you navigate the appeals process in the event your business interruption claim is partially or fully denied.
Schedule a Consultation Today to Speak with Our Pittsburgh Business Interruption Lawyers
If your business has been damaged or shut down to the extent that you have had to interrupt operations, you may be entitled to coverage under your business interruption insurance policy. Let an experienced business interruption attorney deal with the insurance company on your behalf and fight to get you the compensation you may be entitled to. Contact Goodrich & Geist, P.C. today to schedule a consultation to speak to one of our Pittsburgh business interruption attorneys to learn more about your rights and options and to learn more about how our firm can help you and your business.
Frequently Asked Questions about Business Interruption Insurance in Pittsburgh
If your insurer denies your business interruption claim, your insurer will usually have a procedure to allow you to appeal or contest the denial of your claim. If your claim has been denied, you should speak with a business interruption claim attorney as soon as possible. In many cases, claims are denied because the business submitted insufficient information. An attorney can review the basis for your insurer’s denial and help you to secure and submit additional information that can cause the insurance company to reverse its denial. If necessary, an attorney can also help you through the process of filing suit against your insurer to recover under your business interruption policy.
Most insurance companies use standard formulas to calculate the losses that a business has sustained due to an interruption. One of the most commonly-used formulas simply multiplies the business’s total time of interruption by the quantity of goods or services regularly produced, multiplied by the value of all units of production. Even using the same formulas, it is likely that you may calculate a different loss than your insurer has calculated for your business. A business interruption claims attorney can vigorously negotiate on your behalf to reach a settlement with your business interruption insurer that pays you a fair approximation of your business interruption losses.