Businesses thought they were covered for the pandemic. Insurers say no.

By Mary Williams Walsh | The New York Times 

When the Great Lockdown started in Michigan, Nick Gavrilides closed the dining room of his Soup Spoon Cafe in Lansing, had some farewell beers with his workers and set to work on an insurance claim.

He had paid for business interruption insurance, a type of coverage that replaces a portion of a firm’s lost revenue when a disaster forces it to suspend operations, and was expecting his carrier, Michigan Insurance Company, to cover at least some of his losses. He didn’t get a cent.

“At first I thought, OK, we’re toast, this is it,” Mr. Gavrilides said. Then he sued.

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