STORY FROM: COVID-19 Litigation Report
Texas Theatre Owner Says COVID-19 Losses Covered Under ‘Pandemic Event’ Endorsement
April 6, 2020
HOUSTON — The Houston-based owner of a chain of dine-in movie theatres and a restaurant have asked a federal judge for a ruling that its insurer, Certain Underwriters’ at Lloyd’s, must pay for business interruption claims arising from COVID-19 closures.
In an April 3 complaint filed in the U.S. District Court for the Southern District of Houston, SCGM Inc. says a “Pandemic Event Endorsement” in its business interruption policy.
Under the Pandemic Event Endorsement, Lloyd’s agreed to provide up to $1 million of coverage for “pandemic events.” A “pandemic event” is defined as “the announcement by a Public Health Authority ...
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