Calabasas, Calif.-based Unico American Corp. announced that in response to the forced closure of so many small businesses due to the Covid-19 situation in California, Unico’s general agency subsidiary, Unifax Insurance System Inc., is now offering a Suspended Operations insurance product.
The policies are designed to be low cost, basic coverage. For the average restaurant or bar/tavern owners, these policies cost roughly 75% less than that of traditional prices, and exclude coverage for perils typically not experienced while operations are suspended.
When the businesses are ready to resume operations, the policies can be endorsed midterm to convert them into more traditional policies with more traditional coverages and terms, pro-rata, according to the company.
Admitted companies are prohibited from modifying their coverages or rates without the prior approval of California’s Insurance Department, and because the policy is underwritten by a non-admitted, A-rated company, it is better positioned to more quickly offer these terms.
Unico is an insurance holding company whose subsidiaries underwrite and market property/casualty insurance, and transact health insurance, insurance premium financing and membership association services.
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