Ohio Salon Says West Bend Policy Does Not Exclude COVID-19 Business Losses

AKRON, Ohio — An Ohio hair salon has sued West Bend Mutual Insurance Co., contending that its policy does not exclude coverage for business income losses arising from closure orders issued in response to the COVID-19 pandemic.

In a complaint removed to the U.S. District Court for the Northern District of Ohio on June 11, The Opal Lounge Hair and Nail Boutique further relies upon its policy’s provision for “Communicable Disease Business Income and Extra Expense Coverage,” which insurers losses arising from being temporarily shut down by the state board of health due to an outbreak of a communicable …