BDO Consulting Professionals on Negotiating the Insurance Claims Process in the Wake of the BP Oil Spill

With the Gulf Coast suffering from the largest oil spill in the history of the United States, businesses all over the region are being displaced and, in many cases, completely shut down. Tar balls and oil mousse are reaching the shores of Louisiana, Florida, Alabama, and Mississippi, and while the lasting effects of the oil spill are yet to be determined, business owners in these states are experiencing lost revenues as a result. Marine businesses and tourism are just some of the vast number of victims of this devastating environmental disaster. BP has pledged $20 billion to an independently administered fund to pay all legitimate claims for spill-related losses. The claims process may prove difficult to navigate and business owners should be fully prepared to deal with the challenges of proving business interruption claims.

BDO Consulting’s Glenn Pomerantz, National Director of Claim Services, and Robert Glasser, Managing Director of Claim Services, have worked with hundreds of businesses, from small start-ups to Fortune 500 companies, to help them quantify financial losses from catastrophic events. They can speak to issues that Gulf coast businesses should expect to experience with the claims process, and have extensive experience advising the hospitality industry on preparing, negotiating, and settling claims. Specifically, they can provide insights regarding:

• Methodologies, procedures and the intricacies of capturing data for businesses to properly identify and support lost revenues and additional expenses due to the BP oil leak.
• How to avoid and overcome common roadblocks in the claims process as well as understand potential unique issues Gulf businesses may experience with the BP claim process.
• Rational expectations as to the amount claimed and timing of the settlement process, including whether indirect claims will be reimbursed.
• Understanding claim alternatives, including filing with the independent administered fund, via litigation against the responsible parties, or with your insurance carrier.
• Future losses versus actual current losses: Can you file an interim claim with your rights reserved, allowing you to file subsequent claims as additional future losses may occur?

About BDO Consulting

BDO Consulting, a division of BDO USA, LLP, provides litigation, investigation and restructuring services to major corporations, law firms, insurance companies, financial services entities and government organizations. Our highly experienced and well-credentialed professionals draw upon a range of industry knowledge and completed consulting engagements throughout the United States and internationally to provide clients with unparalleled service. BDO Consulting leverages the global industry and accounting knowledge of the BDO International network, providing rapid, strategic advice to assist our clients with dispute resolution, mergers and acquisitions, financial solvency and regulatory compliance issues.