Pressure has been building on the insurance industry since Congress initiated a proposal that would create protection backstock in the same way the Terrorism Risk Insurance Act provided a protection backstop after 9/11. The Pandemic Risk Insurance Act would require insurers to cover business losses resulting from pandemic and would allow insurers to cover losses without risk of going bankrupt. Since the SARS outbreak, insurers have implemented exclusion provisions for diseases in a majority of property/casualty policies.            

During a White House briefing, President Trump reiterated his support for the legislation when President Trump said, “I’d expect to be paid. People have been paying for 25-30 years, and all of the sudden they need it. I would like to see the insurance companies pay, if they need to pay, and if it’s fair. They know what’s fair and I know what’s fair.”

President Trump went on to say, “You have people that have never asked for business-interruption insurance and they have been paying a lot of money for a lot of years for the privilege of having it and then when they finally need it, the insurance company says ‘We’re not going to give it.‘” President Trump continued – “We can’t let that happen.”

If you have questions or would like further information, please contact us at Colucci Law Group at 904-217-0124 or visit our website YourRightsOurFight.com.

As we continue to monitor the novel coronavirus (COVID-19), the lawyers at Colucci Law Group are working closely to stay current on developments and counsel clients through the various legal and business issues that may arise across a variety of sectors.