Plumbing Supply Company Sues Merchants Mutual for COVID-19 Business Losses

CAMDEN, N.J. — A plumbing supply business has sued Merchants Mutual Insurance Co., demanding coverage for business interruption losses it sustained when government closure orders issued in response to the COVID-19 pandemic forced it to close its showrooms to the public.

In a complaint removed to the U.S. District Court for the District of New Jersey on July 6, Delaware Valley Plumbing Supply Inc. (DVPS) accuses the insurer of breaching its policy by denying its claim for coverage after the company closed its Voorhees, N.J. and King of Prussia, Pa., showrooms.

DVPS argues that coverage for its insured losses is …