STORY FROM: COVID-19 Litigation Report

Insurer Moves to Dismiss Key West Dive Shop’s COVID-19 Coverage Action

KEY WEST, Fla. — Tokio Marine Specialty Insurance Co. has moved to dismiss a COVID-19 coverage action filed by a Florida Keys dive shop, contending that the losses are not covered because they do not arise from “direct physical loss or damage” to covered property.

In a June 9 motion filed in the U.S. District Court for the Southern District of Florida just one day after the insurer removed the action to federal court, Tokio Marine contends that Horizon Dive Adventures Inc. d/b/a Horizon Divers failed to allege “demonstrable, physical alteration to its property.”

“Nor does the complaint allege, ...

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