CRS, as an independent risk and insurance advisor, seeks to allay clients’ concerns by assisting in thought leadership and navigation of Coronavirus issues, to mitigate negative business impact to revenue, operations and personnel.

CRS expects, given the magnitude of expected claims inundating the insurance marketplace and in light of businesses’ need to recoup lost profits, that many insurers will likely try to enforce the narrowest reading of their policies’ terms and conditions to limit their obligations to policyholders.  On the other side will be the plaintiffs’ bar, that may try to take advantage of the situation in order to capitalize on your company’s legitimate inability to fulfill its obligations.  CRS has been through these dynamics before, and can help you navigate the pitfalls of each scenario.

CRS will guide clients through the new Coronavirus reality, help determine business strategies, manage negative impact on customer, vendor or other third-party contracts, mitigate costs and address shifting business risks that could impact losses and/or insurance coverage.

• In light of the speed with which information is circulating, and as internal controls/management, governments, regulators, employees, clients and vendors compel businesses to make consequential and actionable business continuity decisions in “real time,” CRS will be available to opine on enterprise risk issues and business continuity plans; help you devise practical risk management processes and controls; and advocate on your behalf with your insurance carriers.

• CRS will drive a focused and tailored review of relevant insurance policies to identify potential coverage extensions, how best to access and advocate for insurance recovery, and to mitigate costs created by opportunistic plaintiffs’ attorneys or unintentional missteps by management.

• This review will take into account, among other things:

      ○ Whether, on its plain terms, the policy affords coverage for claims arising from the coronavirus;

      ○ If coverage is potentially available, the triggers or conditions to coverage which you as the insured must
        satisfy, and whether a notice of potential loss should be provided to insurers;

      ○ What documentation/information should be maintained to quantify Coronavirus-related losses;

      ○ Create expectation on what to watch for as market / government / regulatory
        developments occur and risks evolve that could impact recovery from insurance.

• CRS will opine on potential exclusions or grants of coverage, which could: (a) exclude coverage in its entirety; or (b) indicate a “gray area,” which might be used by carriers to try to deny coverage.

• CRS will review your contracts to identify indemnity and insurance issues, e.g., where you might be entitled to recovery or hold harmless from counterparties or vice-versa; or the impact of “force majeure” contract clauses that address non-performance by a party due to “unforeseeable circumstances.”