The short answer to that question is: it depends on the policy.
Business interruption coverage generally allows a business to recover certain losses in the event that the business suffers physical damage or loss that prevents it from operating its business. For instance if a fire destroyed a business rendering it inhabitable and destroying merchandise, business interruption coverage would help with the lost revenue.
Following the Covid-19 crisis, many business owners (having paid their policies for years) expected their business insurance to cover lost revenue as a result of having to close down. Unfortunately many business owners are calling their insurance companies and finding out from claims adjusters that a) viruses are excluded or b) there was no physical damage, so there is no business interruption coverage.
As a result, some legislatures have proposed legislation requiring some insurance coverage for Covid-19 losses. Not surprisingly, the insurance industry is opposed to such legislation, arguing that it will wipe out the $800 billion surplus socked away by U.S. insurers for future claims. There is also the legal question of whether such legislation would be deemed unconstitutional under the Contracts Clause of the U.S. Constitution.
That said, numerous lawsuits have already been filed across the country, including one filed by the famous restaurant French Laundry in Napa, California. That suit seeks a declaration that the county’s order forcing restaurants to only serve take-out and delivery constitutes a prohibition of access to the restaurants and triggers coverage under the insurance policy.
Whether or not your policy include what is known as a civil authority provision is dependent on the actual policy. Many have a civil authority provision, but also have an exclusion for bacteria and viruses. The best advice at this point is not to wait to submit a claim. Almost all policies require claims to be submitted promptly.
Therefore review your policy to determine your rights as a business owner.