WASHINGTON, D.C. — The American Property Casualty Insurance Association (APCIA) members will meet virtually with members of the House Financial Services Committee over the next two weeks to advocate for the Business Continuity Protection Program (BCPP). The BCPP is a customer-focused proposal for a federal program tailored specifically to help businesses meet the financial challenges from future pandemics and bolster the U.S. economy. David Sampson, president and CEO at the American Property Casualty Insurance Association (APCIA), issued the following statement:
“The BCPP is a solution that can work for everyone – customers of all sizes and structures – to provide protection against widespread economic shutdowns due to a future viral outbreak.
“The BCPP fills the gaps in the marketplace and avoids the uncertainty that has marked the current pandemic, including providing protection for COVID-19 recurrence and mutations in the next public health viral emergency.
“Shutdowns due to COVID-19 have now caused what may become the greatest domestic and global insured loss event in history. The BCPP is an affordable and efficient program for getting much-needed financial assistance to businesses quickly in a future pandemic. Pandemics are inherently uninsurable risks. Any risk where the same thing happens everywhere at the same time is by definition, uninsurable. Proposals envisioning insurers underwriting primary business continuity coverage for all businesses across the economy don’t reflect the realities of the insurance marketplace. Simply put, the insurance marketplace is not structured to produce a broadly available product for pandemic losses at a price that would be affordable by the vast majority of American businesses.
“We urge the House Financial Services Committee to support the BCPP.”