One more on BI vs CV

There has been a growing chorus calling for the government (whether at the state or national level isn’t always quote clear) to force carriers to provide this coverage and begin processing, and paying, BI claims based on mandated closures, but no actual physical loss.

One can see the problem here, of course: this coverage was never offered, underwritten, or issued by the carriers, and no premium for it was ever collected by them. In this case, truly free coverage.

It’s not hard to imagine the consequence:

But certainly there must be a middle ground between this all or (literally) noting conundrum, and indeed there may well be:

“[Two leading industry groups] are calling on our federal lawmakers to adopt the COVID-19 Business and Employee Continuity and Recovery Fund (the “Recovery Fund”). The Recovery Fund would establish a streamlined and tailored federal fund to provide rapid liquidity to small businesses and commercial sectors impaired by COVID-19 through a business interruption claims adjudication process.”

While I am generally not a fan of “may I have some more” from the Feds, this seems like the most judicious approach: after all, as we noted in the post at that first link, this is exactly the type of role government should be playing in this kind of situation.

Will it be enough?

Well, only time will tell, but this is the first reasonable proposal I’ve seen so far.

FWIW.