The following article by Business Insurance highlights New York’s A.B. 10342 which aims to amend insurance laws to permit standalone business interruption coverage not tied to physical damage. Standard policies typically require physical loss or damage, but the new bill would allow coverage for losses from business closures due to neighboring property damage, violence, or government orders. Experts like Daniel Rabinowitz highlight that past claims often failed without physical damage. Manny Padilla supports the bill, noting it covers non-damage disruptions, like road closures affecting delivery. Tim Strong mentions growing demand for non-physical damage coverage, such as active assailant events. Critics, however, argue underwriting these risks is challenging due to unpredictable triggers. Robert Hartwig notes, “There are a number of potential obstacles. For example, what would the trigger be?” The bill signals legislative intent for insurers to offer such coverage, though it doesn’t mandate changes to existing policies. Read more from the article by clicking here.