Which Insurance Covers Corona Damages? ​What Do You Have To Do To Not Lose Coverage?

Publication Date11 March 2022
SubjectInsurance, Coronavirus (COVID-19), Insurance Laws and Products, Insurance Claims
Law FirmDorda Rechtsanw'lte GmbH
AuthorMr Felix H'rlsberger and Magdalena Nitsche

Insurance companies insure uncertain risks of individuals that may arise in the future and cover such risks with the premiums of the insured community. Once the risk has already occurred or is about to occur immediately and one does not have taken out insurance already, it is not possible to get insurance cover anymore.

However, if one has proactively taken out appropriate insurance policies early enough, notification and information obligations now arise that one needs to consider in order not to lose insurance coverage:

Your business (eg bar or nightclub) is not allowed to open?

Business interruption insurances cover such risks; depending on the respective insurance policy, you will usually be reimbursed for a period of 12 months. However, most business interruption insurances only provide coverage in case of property damage (caused by fire, floods, etc.) that leads to business interruption and therefore usually do not apply in the event of a pandemic. The (more expensive) all-risk business interruption insurances have a wider coverage scope. However, such policies in most cases also do not provide coverage in the event of a pandemic (unless pandemics and/or infectious diseases are expressly designated as an insured risk).

In any case, companies should check the scope of coverage of their existing insurance policies and, if necessary, notify the insurer quickly if an insured event occurred (interruption of business due to the Corona crisis).

You've been quarantined and you can't work?

Self-employed and freelancers who cannot work due to the Corona crisis (home office is possible in many sectors and does not prevent many people from working in general) lose their income if they cannot work. Quarantine Such insurance is always recommended for freelancers and covers both the ongoing fixed costs of the business as well as profits withdrawals, necessary to cover the general costs of living.

Especially for farmers, gastronomy and food industry businesses, a so-called epidemic business interruption insurance provides compensation for lost profits and coverage for the running costs. Again, it is necessary to review existing insurance policies quickly and notify the insurer immediately.

You have booked a trip and have to or want to cancel?

If you or one of your fellow travelers falls ill, this generally constitutes a usual cancellation reason and an insured event. The whole family could cancel at the expense of the insurer.

However, if the illness occurred due to...

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