Texas Carwash’s COVID-19 Losses Fall Within Virus Exclusion, Federal Judge Rules

SAN ANTONIO, Texas — An “unambiguous” virus exclusion bars a Texas carwash from obtaining coverage for losses it suffered when it was forced to close in compliance with government orders issued in response to the COVID-19 pandemic, a federal judge has ruled.

In an Oct. 27 order, Chief Judge Orlando L. Garcia of the U.S. District Court for the Western District of Texas granted Nationwide Mutual Insurance Co.’s motion to dismiss the action, filed by Vizza Wash LP d/b/a The Wash Tub, which operates several carwash facilities in the state.

The judge concluded that Vizza Wash’s claimed losses arise, at …