Since the national outbreak of COVID-19 in March of 2020, many states have imposed stay-at-home orders which extend to temporary business closures. A dramatic loss in revenue has left many small business owners in unanticipated financial jeopardy. And now, restaurants, retail outlets, and theaters across the country face an uncertain future.


In order to avoid defaulting on their loans and obligations, a number of small businesses had been counting on their insurance policies to cover expenses by filing business interruption claims. Insurance companies nationwide, however, are refusing to pay out the claims, arguing that their business interruption policy doesn’t cover revenue loss related to viruses and pandemics.


And as of now, courts are taking the side of the insurance companies. A ruling in favor of Michigan Insurance found that the company’s business interruption policy covers only physical loss or damage to the property. Nonetheless, a growing number of small businesses and financial regulators across the globe are currently taking insurance companies to court to contest these decisions.


If you are a business owner looking to file a business interruption claim due to the COVID19 pandemic, it is essential to review the specific language found in your business insurance policy that may address business interruption claims. If you have questions about the language in your policy and whether you may be eligible to file an insurance claim, please contact me at or call me at (443) 569-7264. I will be happy to review your policy with you.



About Liff, Walsh & Simmons

Liff, Walsh & Simmons is a full-service business law firm serving the legal needs of small businesses and privately held companies, their owners and operators, and individuals throughout their business and family life cycles.  From helping entrepreneurs bring their business visions to market, to representing middle-market companies in business transactions and disputes, to preserving the wealth that a family business has worked so hard to earn, we take pride in providing value-driven solutions and great results.  Our responsive service is focused on general and transactional business advice, commercial and civil litigation, real estate, land use, finance, and estate planning and administration.  At Liff, Walsh & Simmons, we are Experienced, Innovative, and Entrepreneurial.

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James Crossan

James Crossan

Jim is a civil litigator and business lawyer who serves as the Director of the firm’s Litigation Practice Group. He applies an in-depth knowledge of litigation and critical decision-making skills to foster and create effective working relationships with his clients. Jim’s practice focuses on contract disputes and he works directly with individuals and corporate entities in a wide range of civil matters including construction, real estate, estates and trusts, and banking and finance. Contact Jim at or (443) 569-7264.

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