You can read all of our articles on our website. Having trouble getting our emails?   Change your spam controls and white list 
Business interruption insurance
March 27, 2020
See webinar schedule below.
Business Interruption Insurance
          Business interruption insurance is designed to cover your lost business when your business operations are disrupted.  The fine print may exclude more than it covers and your expectations may not be met when the time comes.  Of course, the time has come.  Every business has been disrupted. You business is classified as "essential" and likely remains open.  But many of your customers will not want workmen in the house, and many businesses won't be installing new alarms because they are closed.  
        You need to be concerned not only with your own business interruption, but the interruption of your subscribers and customers' business.  When the dust settles on this crisis many subscribers are not going to remain in business, and many subscribers will experience financial hardship and paying bills may not be business as usual.  
       So it's not only your own Business Interruption Insurance coverage you should be thinking about, but your subscriber's coverage as well.
      For a better understand of Business Interruption Insurance I asked Jeff Schulz from J. Krug, insurance brokers listed on The Alarm Exchange under the Insurance Broker category, to comment.   His remarks follow:
    After many conference calls and discussions with the Independent Insurance Agents Association (Big I) we have drafted the following to help our clients understand the Business Interruption and Civil Authority policy language in commercial insurance policy:
    The standard Insurance Services Office (ISO) policy for Business Interruption reads “We will pay for the actual loss of Business Income you sustain due to the necessary “suspension” of your “operations” during the “period of restoration”. The “suspension” must be caused by direct physical loss or damage to the property” The policy additionally reads “The loss or damage must be caused by or result from a Covered Cause of Loss.”
    What this means:
1)  Physical Damage – Does the virus cause any actual damage to your property that causes the suspension of operation? Consensus is, no, the virus did not cause a direct physical damage to the property requiring it to be repaired or significantly altered to bring back to its original state.
2)  Covered Cause of Loss – Is a virus even covered under the policy? An unendorsed ISO policy classifies virus/bacteria as a pollutant. Pollutants are a general exclusion under the unendorsed ISO policy. And there is a mandatory exclusion for Virus or Bacteria which is added to commercial policies in the marketplace.
    Secondly, there is the question relating to the government action or mandated shutdown. This takes us to the Civil Authority coverage section which reads “action of civil authority that prohibits access to the described premises due to direct physical loss of or damage to property”. Again, there is not physical damage to property and we can still have physical access to the premises. 
    We understand that this explanation does not provide any solutions to the situation many of our clients are facing. We are committed to following this issue and updating you as new developments emerge.  We believe that much of this will be challenged in the courts and we will keep you updated on any changes that might trigger coverage under the Business Income coverage parts.  We are also following legislative changes that might allow for a path to coverage and will update you as bills develop.  Should you wish to file a claim we will submit each claim on behalf of our clients and follow it through to the end as we do for every claim.
Jeff Schulz, CIC, CRM
Managing Director, Commercial Division
J. Krug
Relax You’re Covered

Webinars Series 2020 - Register now
            We are pleased to offer the below FREE Webinars. Originally scheduled as Roundtable discussions at the ISC we are now opening up attendance in webinar format. Please sign up for one or more webinars and we hope you’ll participate in the discussion.  Other webinars TBA
            For those of you who had a Free private meetings scheduled with Ken Kirschenbaum at the ISC show, please call Stacy Spector,Esq at 516 747 6700 x 304 to re-schedule the meeting via Skype
When: April 7, 2020 at 12 PM  ET
Topic:  discussion on the current state of the Financial/Capital Market Stability in the Security Industry and necessary agreements needed for security companies
Presented by:  Troy Iverson, VP of Sales, Brian Davis, CFO of AvantGuard Monitoring Centers
Hosted by:  Ken Kirschenbaum, Esq
Who should attend: owners, CFO, managers, 
Register here:  

To order up to date Standard Form Alarm /  Security / Fire and related Agreements, click here:
You can check out the program and sign up here: or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304.
NOTICE:  You can always read our Articles on our website at
THE ALARM EXCHANGEalarm classifieds alarm security contracts

    This area is reserved for alarm classifieds, alarm company announcements, solicitations, offers, etc. 
    There is no charge to post a listing here.Include your contact information, phone, email and web site.  If you would like to submit a post, please send an email to  To create a reciprocal link to our website, click here.

Getting on our Email List / Email Articles archived: 
    Many of you are forwarding these emails to friends or asking that others be added to the list.  Sign up for our daily newsletter here: Sign Up.  You can read articles and order alarm contracts on our web site
Ken Kirschenbaum,Esq
Kirschenbaum & Kirschenbaum PC
Attorneys at Law
200 Garden City Plaza
Garden City, NY 11530
516 747 6700 x 301