Claimant

Several types of people or organizations can act as claimants, depending on the situation:

• The named insured: This is the person or business listed on the insurance policy. For example, you file a commercial property claim after a burst pipe damages your equipment.
• An additional insured: Someone added to the policy for protection. Such as a client added to your general liability policy files a claim after they’re sued over work your business performed.
• A third party: Someone who isn’t covered under your policy but experiences a loss caused by your business. For example, a customer slips and falls in your shop and files a claim under your general liability insurance. Or a driver in another car becomes a claimant after an accident involving your business vehicle.

Claimants can look different depending on the type of insurance:

• Workers’ compensation: An employee injured on the job.
• General liability: A client or member of the public injured or whose property is damaged.
• Cyber: A customer or vendor affected by a data breach involving your business.
• Professional liability or E&O: A client claiming financial damage from an alleged error in your services.

The claims process generally includes:

• Report of the incident to your insurer
• Assignment of a claims adjuster
• Investigation, including documentation, interviews, or photos
• Coverage review to determine whether the loss is covered
• Payment or denial of the claim

Claimants may choose to hire an attorney for complex or high-value cases, but it’s not always necessary.

Insurance laws and regulations give claimants certain protections to ensure the claims process is fair and transparent. Understanding these rights helps both claimants and business owners know what to expect as the claim moves forward.

Claimants are entitled to:

• A timely response from the insurer
• An explanation if a claim is denied
• The ability to provide additional documentation
• Options to dispute or appeal a claims decision, including contacting their state’s insurance department

These rights help ensure a more balanced process, giving both the claimant and the insured business a clear path toward resolution.

Even when you’re not the claimant, their actions can affect your coverage and your operations. A claim filed against your business may:

• Impact your future premiums
• Affect your loss history
• Lead to a lawsuit if the issue escalates
• Require you to provide documentation or cooperate with the insurer’s investigation

Being prepared—keeping accurate records, documenting incidents, and following safety best practices—makes the claims process smoother and protects your business.