The COVID-19 pandemic has been devastating on small businesses across the country. One recourse some businesses are attempting is to seek relief via business interruption clauses in their general liability insurance policies. However, most insurance companies have included exemptions for pandemics as it relates to business interruption. This has not stopped class action suits from forming, and the courts will ultimately decided this issue.
Should claims be found to be applicable and viable, insurance companies will have to conduct their own due diligence to ensure that the business interruption claims are valid. Like any insurance issue, the potential for fraud is great. For example, a business may claim interruption, but an insurance company may want to conduct surveillance to see if the business is actually open. Investigators may be sent to interview employees or clients to confirm dates of closure.
For any insurance defense fraud claim, regardless of the type of claim or location in the U.S., contact Crossroads Investigations for a free consultation via [email protected] or (866) XROADS-1 (866-976-2371).