Business Interruption Claim


The Chippewa Cree Tribe’s medical center, the Rocky Boy’s Health Clinic, was severely damaged in 2010 as a result of a flood and landslide. The medical center provided general medical, mental health, pharmacy, optometry, dental, chiropractic, physical therapy, and other professional medical services to the tribe, but was now compromised and unable to deliver care.


The Tribe needed assistance to prepare a business interruption claim, including comprehensive documentation, to secure the maximum dollar amount possible.


Hagerty, working with the CEO and CFO of the Tribe, developed financial documentation for the clinic’s business interruption statement of loss; organized and coordinated documentation for all insured losses; prepared the proof of loss documents required by the insurance contracts; analyzed and evaluated the Federal Emergency Management Agency’s (FEMA) application of the ‘duplication of benefits’ regulations, which were deducted from the Tribe’s project worksheet grant amounts. Additionally, the Hagerty team compared pre- and post-disaster revenues and expenditures for the clinic; interviewed the clinic’s medical staff, executives, and tribal council members; developed models to best determine actual and expected loss of revenue in anticipation of the proof of indemnity. All of this data was organized and turned over to the Tribe to submit as part of their overall statement of loss.


Based on Hagerty’s analysis, the Tribe submitted a business interruption and extra expense claim in excess of $15 million as part of the proof of loss document. This claim was fully one-third of the Tribe’s overall statement of loss. Hagerty also uncovered deduction errors in 15% of the FEMA project worksheets.