Business Interruption / Business Overhead Expense Claims

A skilled insurance lawyer West Palm Beach FL offers can help you understand that with these insurance claims, two different types of insurance coverages are involved with one common element – both coverages are designed to pay for the loss of income a business suffers when disaster strikes.

A typical property insurance policy will pay for the cost of repairing or replacing a business’s building and equipment when it is damaged due to fire, flood or hurricane. However, the loss of income a business suffers is not covered when disaster strikes unless business interruption coverage has been added to the policy. It is designed to keep the business’s stream of revenue flowing while the business recovers from the peril that caused the loss. Disputes can often arise over the loss of revenue actually suffered by the business due to the disaster. These disputes can relate to the revenues the business would have realized had the disaster not occurred, or the operating expenses the business would have otherwise incurred. A top insurance lawyer West Palm Beach FL trusts understands these issues. Typically, forensic accountants or other expert witnesses are employed to calculate the revenue lost or operating expenses incurred by the business as a result of the disaster. The financial records of the business are vitally important in establishing the loss, and if the records are incomplete or lacking in specificity, the insurer may deny the claim.

Business overhead expense insurance coverage is different than business interruption insurance coverage. It is a type of disability coverage. It pays the overhead expenses of a business when a key employee becomes disabled. Proof of disability must be established, usually through medical records or testimony from a physician. Actual expenses must be incurred, such as rent, salaries, etc., and the policies are not designed to cover lost profits.

If an insurer denies coverage to an insured, or fails to honor a claim in full, Florida law allows the insured to recover attorney’s fees if a lawsuit is successfully brought against the insurer. Thus, even if the amount in dispute is rather modest, an insurance lawyer West Palm Beach FL residents count on who is successful in helping an insured can recover their fee from the insurer for the time spent assisting the insured.

Insurance disputes, like insurance policies, can be complicated and difficult for most people to understand.

Eric Luckman is a Florida Board Certified Civil Trial lawyer. Only 2% of lawyers in the state of Florida are recognized with this prestigious certification.  Board certification recognizes attorneys’ special knowledge, skills and proficiency in various areas of law and professionalism and ethics in practice.

Feel free to call our office to discuss your case at 561-737-3133. The initial consultation is free, and you will speak directly with Eric Luckman, about your claim and your rights.

An experienced insurance lawyer West Palm Beach FL relies on can help you determine whether you have a valid claim.