The COVID-19 pandemic–and how governments, businesses and individuals react to it–raises many issues relevant to property/casualty (P/C) insurers and their customers. As a trusted source of unique, data-driven insights on insurance, Triple-I tracks and reports on these multi-faceted issues. We have created and curated information and resources to help you navigate P/C insurance issues in this rapidly changing environment. Here you will find Communications updates and Fact Sheets; Triple-I thought leadership; and finally, reports and analysis on the latest news and developments impacting the industry and its customers, from the Triple-I Blog. Current global and U.S. cases and deaths are shown here: Facts and Statistics, Mortality Risk.
On May 18, 2020, the Insurance Information Institute (Triple-I) announced the launch of the Future of American Insurance & Reinsurance (FAIR) campaign. As communities reopen and restart, insurers will play a critical role in the process, continuing to provide financial protection for the millions of Americans who depend on them for indemnification from risks they rightfully insured. Yet the industry is threatened with growing calls to retroactively alter insurance policies, cover the economic cost of widespread closures, and adjust workers compensation criteria, among other new developments. FAIR will focus on ensuring the insurance industry is able to sustain its longstanding role as the country’s backbone of economic growth and stability. Said Triple-I CEO Sean Kevelighan, “While the insurance industry has been doing its part to step up and support their communities in this time of crisis, pandemics are fundamentally uninsurable events. The federal government remains the only entity with the financial resources to help businesses recover from a systemic event of this magnitude. With the support of the public sector and the innovation of groups like insurers in the private sector, we can come together to work toward recovering from this catastrophe and build a more resilient future.” Visit www.fairinsure.org and follow @FAIRInsure on Twitter for updates. (May 18, 2020) | View
COVID-19 has brought the U.S. economy to a standstill. Are insurers so well-capitalized they can pay claims on insurance policies for which they collected no premiums due to virus and bacteria exclusions?
The short answer is no. (April 28, 2020) | View
This presentation, given by Triple-I CEO and President Sean Kevelighan in a webinar sponsored by The National Council of Insurance Legislators and the Rutgers Center for Risk and Responsibility at Rutgers Law School, discusses the property/casualty industry's response to the COVID-19 pandemic. The insurance industry is applying forward-thinking solutions to take care of its customers, communities and employees during the COVID-19 crisis through multiple initiatives. The report also discusses in detail the following: insurer capital; monthly costs of retroactive changes to SME BI policies; and includes four key takeaways on business income (interruption) insurance. It concludes with a discussion on how federally backed government solutions are available. (April 24, 2020) | View
This Triple-I Fact Sheet explains how business insurance functions, and the coverage it typically provides. Business income insurance is generally purchased as part of a business property insurance policy, for an additional premium. To file a business insurance policy claim, the loss must usually be caused by direct physical damage to the business's property. (April 22, 2020) | View
Among the ways in which we are in uncharted territory is the scale of how businesses are impacted by the pandemic. Unsurprisingly, in reaction to slow-downs and shut-downs in many business sectors, businesses are looking for ways to mitigate their losses or recover lost revenue. One avenue that businesses are exploring is the availability of business income (interruption) coverage under their property insurance policies. The language of an insured’s policy will control whether COVID-19 interruptions are covered. Unfortunately, much of the media commentary on business income (interruption) claims related to COVID-19 has inappropriately treated all insurance policies as though they are identical. Triple-I Blog | 04/01/2020
Business income (interruption) insurance can be as vital to your survival as a business as fire insurance. Most people would never consider opening a business without buying insurance to cover damage due to fire and windstorms. But too many small business owners fail to think about how they would manage if a fire or other disaster damaged their business premises so that they were temporarily unusable. Business income (interruption) coverage is not sold separately. It is added to a property insurance policy or included in a package policy. Triple-I Consumer Article
More Business Income (Interruption) Insurance content available on the Triple-I Blog.
In a recent webinar, Triple I CEO Sean Kevelighan, Chief Economist Steven Weisbart and Senior Economist Michel Leonard discussed the impact of unconstitutional retroactive business income (interruption) claims payouts on the property/casualty insurance industry and the economy. (April 16, 2020) | View
Global Macro and Insurance Outlook: How will the COVID-19 outbreak impact global growth and the insurance industry? (March 4, 2020)
Business Income (Interruption) Insurance: Key Facts (04/22/2020)
Insurers Are Engaged in the COVID-19 Crisis (03/28/2020)
More Triple-I Communications updates are available here.
The COVID-19 pandemic and low interest rates are contributing to a rough year for the workers compensation line according to experts speaking at a joint Triple-I and NCCI webinar. Triple-I Blog | 07/27/2020
U.S. auto insurers will return more than $14 billion to their customers nationwide, according to an estimate released on June 5 by the Insurance Information Institute. Triple-I Blog | 6/05/2020
COVID-19 could produce a big increase in social inflation as businesses sue their insurers in an attempt to access their business income interruption coverage for losses relating to the pandemic. However, court closings may have a downward effect on social inflation as people may be more willing to settle than wait for a delayed trial. Triple-I Blog | 07/06/2020
Insurance companies are working to alleviate the impact of the COVID-19 crisis by supporting their employees and distribution partners, donating money to global relief efforts and easing the financial burden on their customers. Triple-I Blog | 4/6/2020
“Life insurance claims are rarely denied,” says Triple-I chief Chief economist Economist Dr. Steven Weisbart. “When they are, it’s typically because the policies had lapsed due to non-payment of premium or the policyholders had provided inaccurate or misleading information at the time of application or renewal.” Triple-I Blog | 04/28/2020
As car insurers help their customers cope with COVID-19’s economic impact through premium refunds and other relief measures, and some groups complain the efforts are insufficient and ask regulators to make insurers pay more. However, it’s worth noting that the cost of insuring motor vehicles has grown more slowly than inflation over the past 12 months. Triple-I Blog | 04/16/2020