COVID-19 Updates
Reinsurance attorneys discuss effect of coronavirus business-interruption claims
Read Time: 1 minWhile insurance companies provide coverage to individuals and other businesses, they themselves are insured by reinsurance contracts. These contracts reimburse insurers for claims they pay, but only if the underlying claims are covered in the contract.
Ronnie Johnson (Dallas) was quoted by Thomson Reuters in a blog article on this topic, saying “it may be important to consider whether the value of the reinsurer’s investments has been diminished by current events and whether there is still liquidity to operate and pay claims.”