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Pennsylvania House of Representatives
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House Co-Sponsorship Memoranda

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House of Representatives
Session of 2021 - 2022 Regular Session


Posted: February 16, 2021 03:09 PM
From: Representative Pam Snyder and Rep. Malcolm Kenyatta
To: All House members
Subject: Small Business Insurance Relief Due To COVID-19
COVID-19 is hurting small businesses and their employees throughout this Commonwealth. Many of these small businesses have purchased a form of insurance known as business interruption insurance, which is designed to protect businesses from losses of income due to an interruption.

Many of these business interruption insurance policies are not covering interruptions which are due to COVID-19. However, this deadly disease has undoubtedly interrupted business as usual.

We live in extraordinary times, and we must take extraordinary action to mitigate the effects of this pandemic. To provide small businesses with some much-needed relief, we will be introducing legislation which will do the following:
  1. Clarify that business interruption policies in effect as of the date of the Governor’s disaster declaration (March 6, 2020) include coverage of perils related to COVID-19.
  2. Allow insurers to receive reimbursement for business interruption insurance claims paid due to COVID-19.
  3. Provide for a mechanism to make funds immediately available for such reimbursement.

It’s important that we all stand together during these tough times and support our neighbors and businesses. Many businesses in our community that we hold dear are on the brink of shutting their doors forever from the inability to operate as normal. We hope that you will join us in supporting Pennsylvania’s small businesses by sponsoring this legislation.

Introduced as HB1223