Washington state business owners typically buy insurance coverage to protect themselves from potential losses. With the outbreak of a coronavirus (COVID-19), business owners may question if their existing insurance policy covers this type of loss.
What you need to be covered from coronavirus and other outbreaks
To be covered against any business losses due to a communicable disease, such as COVID-19, you would need to have purchased an additional endorsement to your policy. Depending on the type of business you own, your agent or broker can tailor your endorsement to your business needs. For example, if you own a small convenience store, it might cover wages for employees who are sick and can’t show up for work due to a communicable disease outbreak.
At this time you might not be able to buy this type of endorsement. After the outbreak is over and the market’s stabilized, contact your insurance agent or insurance company directly to see if they even offer it.
NOTE: The Office of the Insurance Commissioner does not have the authority to require insurers to sell any type of coverage or policy endorsements to consumers.
Small Business Administration and disaster assistance
The U.S. Small Business Administration (www.sba.gov) is offering some Washington state counties low-interest federal disaster loans for working capital to small businesses that are suffering substantial economic injury due to coronavirus.
Small businesses that qualify are encouraged to apply online for a disaster loan (www.sba.gov). If you don’t have a computer or smartphone access, call the Small Business Administration at 800-659-2955.