Companies doing business in Illinois are keenly aware of the recent flood of lawsuits alleging violations of the Illinois Biometric Information Privacy Act (BIPA). They know that BIPA lawsuits can be costly to defend. And they understand that if they are found to have mishandled the retention, collection, disclosure or destruction of biometric information, they could face substantial exposure.

Not surprisingly, the first question most companies ask when they learn about a new BIPA lawsuit is: Do we have coverage for that? To answer that question, companies will want to closely review the recent Illinois Appellate Court decision in West Bend Mutual Insurance Co. v. Krishna Schaumburg Tan, Inc., 2020 IL App (1st) 191834. According to that ruling, they might have coverage.…