business interruption News

Jury Awards $48.5M to Baylor Medical College for COVID Business-Interruption Claim

A Texas jury awarded the Baylor College of Medicine in Houston $48,529,961 for damages caused by COVID-19 in what appears to be the first jury verdict in a lawsuit that sought insurance coverage for lost business income and other damages …

Viewpoint: La. and N.Y. Appellate Courts First to Find Physical Loss from COVID-19 Shutdowns

There is a hole in the dam. Prior to June 14, every one of the 77 federal and 44 state court appellate decisions interpreting the meaning of “direct physical loss or damage” in a standard-form commercial property insurance policy had …

Calif. Court Breaks String of Insurer Wins, Scolds Peers for Premature Dismissals

A California appellate court broke from its sister jurisdictions — as well as state and federal courts across the nation — and ruled that a hotel owner’s lawsuit seeking coverage for a COVID-19 shutdown may proceed. In an opinion released …

Doctors’ Group Accuse Insurers of Using ‘Junk Science’ to Deny COVID Business Claims

The medical profession in New Hampshire is accusing the insurance industry of using “junk science” in justifying its denials of Covid-related business insurance claims. In an amicus brief in a case between a hotel chain and eight insurers, the New …

Appeals Court First to Rule in Favor of Coverage for COVID Shutdown

The attorney who filed the first U.S. lawsuit seeking insurance coverage for a business shut down because of coronavirus won the first policyholder victory in a state or federal appellate court that interpreted the meaning of “direct physical loss or …

US Supreme Refuses to Hear COVID Business Interruption Case

The US Supreme Court decided Monday that it will not hear an appeal of a decision that denied coverage for losses caused by COVID-19 shutdown orders, effectively closing the last door for such claims in the federal court system. The …

Viewpoint: Insurers Maintain Unbeaten Record in Appellate Courts for COVID Claims

As we approach the end of the first quarter of 2022, things are still looking good for insurers in the COVID-19 coverage litigation battle. The issuance of various governmental orders requiring businesses to temporarily modify or close their operations led …

Viewpoint: Cyberattacks Present Unique Challenges for Business Interruption Claims

Introduction As businesses continue to rely on computers and digital storage of important data, cyberattacks are a growing potential threat to these organizations—especially now, as businesses have transitioned their workforces to work remotely. There are many types of cyber threats, …

4th Circuit Affirms Decision Rejecting Art Studio’s COVID-19 Claim

Another federal appellate court ruled Monday that a business interruption caused by COVID-19 does not amount to a physical damage or loss covered by a commercial property insurance policy. A panel of the 4th Circuit Court of Appeals affirmed the …

Condo Collapse and COVID Court Rulings Among the Top Stories for 2021

The collapse of a Miami-area condominium tower and efforts to achieve a fair resolution for the victims was the Claims Journal’s top story in 2021. Readers were also keenly interested in court rulings involving litigation by policyholders seeking coverage for …