STORY FROM: COVID-19 Litigation Report

Ky. Plastic Surgery Center Sues Insurers to Recover COVID-19 Losses

LEXINGTON, Ky. — A Kentucky plastic surgeon has sued Liberty Mutual Insurance and Ohio Security Insurance Co., seeking coverage for lost business revenue caused by the government mandated postponement of all non-essential surgeries during the COVID-19 pandemic.

In a complaint removed to the U.S. District Court for the Eastern District of Kentucky on June 17, Plastic Surgeons of Lexington, LLC says its policy covers business income loss, extra expenses, and other losses because they arise from a “direct physical loss” to the insured property.

Defendants’ denial of plaintiff’s claim constitutes a material breach of the policy, according to the lawsuit. ...

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