Virus Exclusion Applies to Calif. Hotels’ COVID-19 Losses, Calif. Federal Judge Rules

LOS ANGELES — A federal judge has dismissed a COVID-19 coverage business interruption coverage action filed by two Fresno, Calif., hotels against AmGuard Insurance Co. and its parent company Berkshire Hathaway Guard Insurance Cos., ruling that the policy’s virus exclusion bars recovery.

In an Oct. 27 order, Judge Virginia A. Phillips of the U.S. District Court for the Central District of California explained that the complaint, filed by West Coast Hotel Management LLC d/b/a University Square Hotel of Fresno and West Coast Orange Group LLC d/b/a The Hotel Fresno “contains multiple admissions that their losses were caused directly or indirectly …