Chubb Urges U.S. and Insurers to Team Up for Future Pandemic Costs

Chubb Ltd. proposed that insurers and the U.S. government work together to cover future business-interruption losses from pandemics, as the industry faces a flurry of lawsuits over costs related to coronavirus-related shutdowns.

Chubb, the large global insurer led by Evan Greenberg, announced Wednesday a plan for a “public-private partnership” that works differently for small businesses than for the larger companies that Chubb argues often have better financial resources. While the federal government would assume “a substantial percentage of the risk,” Chubb’s pitch outlines how insurers would bear some costs as well.