STORY FROM: COVID-19 Litigation Report

Travelers Accused of Failing to Refund CGL Policy Premiums Despite Decrease in Risk

JEFFERSON CITY, Mo. — Travelers Indemnity Company of America has been accused of refusing to partially refund commercial general liability premiums to businesses during the COVID-19 pandemic, despite a significant decrease in exposure to potential claims.

In a July 27 class action complaint filed in the U.S. District Court for the Western District of Missouri, the owners of a Kansas City office building contend that despite a disruption of their business due to the virus and related government restrictions, Travelers has not discounted their premiums.

In response to the dramatic decline in vehicle miles traveled, consumer groups called on insurers ...

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