Motion to Dismiss Superspreader Case Due to SIR Denied The United States District Court for the Central District of California, applying California law, denied an insurer’s motion to dismiss a coverage action related to the insurer’s failure to provide business interruption coverage under a “Site Environmental Impairment Liability Coverage” policy (the “Policy”).  The court found that “covered under the Policy”... Read More

Covered Except if Pollution Exclusion Includes Virus Plaintiffs own and operate 23 hotels in N.H., Massachusetts, and N.J.  Plaintiffs purchased $600 million of insurance coverage from defendant insurers, whose policies are identical with the exception of certain addenda.  The policies generally extend coverage for direct physical loss or damage to all real and personal property owed or used by plaintiffs. ... Read More

No Summary Judgment on Civil Authority Provision In The Court of Common Pleas of Allegheny County, Pennsylvania, applying Pennsylvania law, granted, in part, an insured’s motion for summary judgment finding that it was entitled to insurance coverage for losses it sustained because of COVID-19 under its policy’s business income protection provision. However, the court found that issues of fact... Read More

BI Claim Fails to State a Claim Due to No Physical Loss or Damage In the first federal appellate court decision on a COVID business interruption claim, the United States Court of Appeals for the Eighth Circuit, applying Iowa law, affirmed the dismissal of the breach of contract and bad faith claim for failure to state a claim.  Oral... Read More

Communicable Disease Exclusion Bars Coverage Under Event Cancellation Policy The United States District Court for the Northern District of Illinois, in an opinion by Judge Gettleman, applying New York law, granted Those Certain Underwriters at Lloyd’s of London, Severally Subscribing to Policy No. RSC-1224 and known as Argo Managing Agency Limited and Markel Syndicate Management Limited’s (“Lloyd’s”) motion to dismiss... Read More

Civil Authority Coverage Inapplicable Because Employees and Patients Had Access The United States District Court for the Northern District of Illinois, in an opinion by Judge Reinhard, applying Illinois law, dismissed with prejudice the amended complaint filed by Riverside Dental of Rockford, Ltd. (“Riverside”) against Cincinnati Insurance Company (“Cincinnati”).  Riverside purchased a commercial property insurance policy which included a building... Read More

Potential Coverage if Not Faced with Virus Exclusion The United States District Court for the Northern District of Illinois, in an opinion written by Judge Kocoras, applying Illinois law, denied Continental Casualty Company’s (“Continental”) motion to dismiss its insureds’ first amended class action complaint. The insureds sought coverage under policies issued by Continental for losses stemming from COVID-19. Specifically, the... Read More

Virus Exclusion Bars Coverage for Lost Business Income   The United States District Court for the Northern District of Illinois, in an opinion written by Judge Kennelly, applying Illinois law, granted Westfield National Insurance Company’s (“Westfield”) motion to dismiss a complaint brought by two of its insureds stemming from losses due to COVID-19. The insureds sought declaratory judgment and alleged,... Read More