Los Angeles City Councilman David Ryu said Thursday that he sent a letter to state legislators, asking them to expand insurance coverage for small businesses so they can claim losses related to the coronavirus pandemic.
"Small businesses across California did the right thing in making sure they were insured for any unforeseen losses or extraordinary circumstances," Ryu said. "But it turns out, the insurance companies don't count pandemics as a circumstance requiring coverage.
"Small businesses have done the right thing, now our insurance companies should do the right thing and provide coverage to the small businesses that are in such desperate need right now," he said.
Ryu said insurance companies should classify the pandemic as an "act of God," which would be covered under their policies.
In his letter, the councilman urged the state policymakers to try to strike a deal with the insurance companies to cover coronavirus loses or to seek legislative or regulatory measures to require the policy changes.
Ryu sent the letter to California Insurance Commissioner Richard Lara, state Sen. Susan Rubio, D-Los Angeles and Assemblymember Tom Daly, D-Santa Ana.
Rubio chairs the Senate Standing Committee on Insurance and Daly chairs the Assembly Committee on Insurance.
