Mo. Hair Salon Chain Sues Cincinnati Insurance for COVID-19 Coverage

KANSAS CITY — The owner of a small hair salon chain has hit Cincinnati Insurance Co. with a class action demanding coverage for COVID-19 business interruption losses.

In an April 27 complaint filed in the U.S. District Court for the Western District of Missouri, Studio 417 Inc. says the insurer has breached its all-risk policy by denying its claim for coverage.

“Defendant has, on a wide-scale and uniform basis, refused to pay its insureds under its Business Income, Extra Expense, Civil Authority, and Sue and Labor coverages for losses suffered due to COVID-19, any executive orders by civil authorities that …