Is Rioting and Looting Covered by Company Insurance?

What you’ll discover:

Would property damage be covered by my company insurance?
Would my inventory losses be covered by insurance?
What insurance coverage should I get today if I didn’t have any before?
What do I do now?

In 2020, small enterprises will be particularly heavily hurt. Some have suffered financially as a result of the coronavirus epidemic, while others have lately endured property destruction or looting in rare occurrences related to recent riots. If your company was unlucky enough to be among the latter, there are a few actions you may take to recover. We’ve compiled answers to some of the most often asked concerns about insurance coverage for property damage, inventory loss, and rebuilding costs during a civil upheaval.

Would property damage be covered by my company insurance?

The answer is dependent on the sort of insurance you bought. General liability, property insurance, and workers’ compensation insurance are the most typical kinds of insurance policies held by small company owners (if the business has employees). Rioting damages are likely to be covered by most property insurance plans, since riots are included as a danger in many policies. Contact your insurance provider to learn more about what your policy covers.

Would my inventory losses be covered by insurance?

In general, insurance will cover not only physical damage but also any damage to the contents of the property caused by civil disturbance, riots, or other similar events. Your insurance may also cover revenue loss if it is caused by physical damage to the premises that prevents the firm from reopening immediately. Your insurance company will be able to clarify what is covered under your policy.

What insurance coverage should I get today if I didn’t have any before?

Even if your company does not need insurance, it might be a wise investment. General liability insurance and property insurance may cover property and goods damage, loss, or theft, while workers’ compensation can assist protect you if an employee is hurt on the job. If you have any concerns concerning alternative circumstances that may apply to your company, you should consult with a lawyer.

What do I do now?

When you contact your insurance company to report damage, an assessor is usually appointed to verify the nature of your claim and evaluate the level of coverage. If the damage was serious and you have yet to get it inspected, you may want to consider boarding up your company to avoid more losses. If your store was robbed, you will most likely need to create an inventory list. You could also consider filing a police complaint for further proof.