Coronavirus outbreak places insurers under the spotlight

As multiple countries grapple with the novel coronavirus infection, individuals and organizations are scrutinizing their insurance policies to see if they are covering the losses caused by the epidemic. On the ground, several insurers have also launched efforts to support the fight against the infection. A report by the Financial Times said that while experts agree that many insurance policies may pay out, quite a few policies also have deliberate exclusions for epidemics and pandemics. The experts added that it is too early to say how much the virus outbreak will cost the insurance industry. “Clients are asking about the extent of their cover,” Clarissa Franks of Marsh was quoted as saying in the report. “Clients with manufacturing in the key regions of China will be affected.” Three major insurance areas are most likely to feel the full impact of the coronavirus: travel insurance, business insurance, and life insurance.