Business

Back Bay businesses face tough task on insurance for bombing losses

BOSTON , MA. 05/ 08/13: Dan Donahue, managing director of the Lenox Hotel. Donaghue is among the business execcs. recovering from hundreds of thousands in losses folowing the bombings. ( David L Ryan/Globe Staff Photo ) SECTION: BUSINESS TOPIC 09insurance(1)
“It’s going to be a long process to recover,” said Dan Donohue, managing director of the Lenox Hotel. (David L. Ryan/Globe Staff)The Boston Globe

This is a summary. To read the whole story subscribe to BostonGlobe.com

The Marathon bombings are presenting the first major test of an insurance law passed after the Sept. 11, 2001, attacks to regulate coverage in the event of another large-scale disaster.

While the law was meant to provide clarity for insurers and those facing losses, it has thus far failed to do so in Boston, where it remains unclear who will be responsible for millions of dollars in losses.

Insurance specialists said it could take the Obama administration several months to work through a technical, multipart test to determine whether an act of terrorism has occurred. The law does not set a deadline for making that determination, and the Obama administration has not offered a possible time frame.

Full story for BostonGlobe.com subscribers.

Get the full story with unlimited access to BostonGlobe.com.

Just 99 cents for four weeks.

Share