Are Your Losses from COVID-19 Covered Under Your Business Interruption Insurance Policy?

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Dear Schiff Dental Clients

Good Morning to all! I hope each of you are well and safe

We are here for you!

Schiff Dental Client Update as of Friday, May 1, 2020  at 7:00 AM

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Why You Should Consider Filing a Business Interruption Insurance Claim

What is business interruption coverage?

This type of insurance coverage is known by several different names: business interruption, loss of use, loss of income are the most common descriptions.  Often this coverage is part of a liability or commercial policy.  Business interruption coverage provides loss of income following a disaster. The question becomes, “will your commercial insurance policy cover COVID-related losses”?

When we first reached out to insurance companies along with the ADA in early March, we were told they did not believe any coverage was available due to exclusions.  Some policies have specific virus-related exclusions while others have additional exclusions that seemed to indicate no coverage was available. We have since learned there are Attorney’s that are pursuing these claims on behalf of your Dental Practice.

Why does filing a claim now seem more viable?

Since our initial conversations in March, we have attended several webinars and read numerous articles by attorneys who specialize in insurance claims.  We now believe dentists should consider filing a business interruption claim.  Even though policies have exclusions, since practices were forced to shut down due to government mandates, ADA recommendations along with your State Board of Dentistry, there may be coverage available for loss of income due to the pandemic.

Here is a link to an excellent article written by attorneys Doug Alexander and David Briggs that provides more information about business interruption coverage and potential claims: https://sglaw.com/business-interruption-coverage-in-the-age-of-covid-19/  Please read this article.

In addition, we recommend that you listen to the Art of Dental Finance podcast, produced and hosted by our ADCPA colleagues, Art Wiederman, CPA (Los Angeles, CA).  Art’s most recent podcast covers business interruption insurance and the challenges we are facing with the US Treasury issuing no guidance. We highly recommend that you listen to it: https://www.hmwccpa.com/2020/04/29/are-your-losses-from-covid-19-covered-under-your-business-interruption-insurance-policy-with-attorney-randy-curry-the-art-of-dental-finance-and-management-podcast/

What to do next?

The statute of limitations for filing a claim “for the loss of income” could be 60 – 90 days after your Dental Practices was requested to close.  Therefore, we recommend contacting your corporate attorney as soon as possible.  Ask your attorney to review your insurance policies to determine the best course of action to take. Please also request of  your Attorney to contact Randy Curry, Esquire mentioned in Art’s Podcast. Randy can be contacted at 949-258-4381 or rcurry@currylawyers.com . Randy can share with you additional information about filing claims and answer your questions and concerns.

If you want to file a claim, it is very important for the claim to be filed correctly and in a timely manner.  While it is very likely the claim will be initially denied, a correctly filed claim may be eligible for reconsideration as part of a class action lawsuit or other government action.

If you want to be directed to a firm that will consider your case as part of a larger group of contingent fee claimants, then please consider contacting Keller Rohrback (Seattle, Washington)

Keller Rohrback is actively pursuing coverage on behalf of dentists (and other small business owners) across the country for COVID-19 related business interruption.

They are interested in talking to anyone who has been denied, and also anyone who is concerned that they may be denied or is unsure about making a claim for the “loss of income”.

Please contact John Oldach at: joldach@kellerrohrback.com or (805) 364-4590.

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We are here for you!

Please stay well…enjoy the weekend!

My best

Allen

The Art of Dental Finance and Management

Informative weekly podcast for dental practices.

This week’s topic:

Are Your Losses from COVID-19 Covered Under Your Business Interruption Insurance Policy?

with Randy Curry, Esq.

Attorney Randy Curry and Art discuss issues facing dentists during the COVID-19 pandemic in this episode of The Art of Dental Finance and Management podcast:

  • Whether a dentist’s business interruption policy can cover losses
  • Policy provisions in these types of policies
  • Ongoing litigation
  • Potential state and Federal legislation coming which could require insurance companies to cover situations such as COVID-19
  • What actions dentists should take to potentially receive financial benefit from these policies

Art also provides updates on:

  • Recent SBA Interim Guidance on calculating the PPP loan
  • Insight regarding bringing the dental team back early
  • New grant program from Facebook New CDT code issues to cover PPE costs expected when dentists re-open their offices

This episode is packed with helpful information for dentists to navigate these challenging times.