Questions About Hurricane Claims

If a company that regularly provides important supplies for my business is unable to fulfill its obligations because of damages it suffered in a hurricane, will my insurance policy cover the additional expenses I will incur by having to go to another supplier?

If you have contingent business interruption coverage, then you may be entitled to compensation when your business operations are affected due to the interruption of service by a company in which you rely for goods. This type of policy covers losses that are directly caused by damage to a “contingent” business, such as a supplier.

Your insurance company will probably require that the loss be of the same type covered under your own business interruption policy and that the result was a significant disruption or suspension of your business operations. It is important that your insurance policy be reviewed in detail to determine how coverage would be affected in any given loss situation.

You can plan on the insurance company giving close scrutiny to this type of claim, which will likely require the help of an experienced and knowledge attorney. If you wish to discuss your case with a Houston business attorney, contact us today!