Washington, D.C. – In a June 4, 2020 letter to commercial insurance CEO’s, the Consumer Federation of America (CFA) called upon major insurers to pledge not to deny or underpay business interruption claims resulting from riots or civil disorder from businesses also impacted by the COVID-19 pandemic.

Here is the pledge the CEO’s are being asked to make and post on their websites by June 9^th:

We pledge that our insurance company will not deny business interruption claims resulting from a riot or civil disorder because a business had been shuttered as a result of the pandemic or on the basis of a previous decision to deny a business interruption claim based on a virus exclusion in our policy.

 We further pledge not to reduce the amount of payment available on business interruption claims resulting from a riot or civil disorder below the amount that would have been paid prior to the pandemic.

“So many small businesses are effectively facing double jeopardy from their insurance companies,” said J. Robert Hunter, Director of Insurance at CFA, former Texas Insurance Commissioner and former Administrator of the now defunct federal Riot Reinsurance Program.   “Insurance companies should do the right thing and immediately pledge not to low-ball or reject claims submitted by the businesses impacted by both COVID-19 and the riots.”

The letter was sent to the CEO’s of the nation’s largest insurers of small and large businesses, including:

J. Robert Hunter, 703-528-0062

Doug Heller, 310-480-4170