Arizona Restaurants Lose Bid for COVID-19 Business Interruption Coverage
March 9, 2021
DOCUMENTS
- Order
PHOENIX — A federal judge has dismissed a COVID-19 coverage action filed by the owners of three Arizona restaurants against The Cincinnati Insurance Co. ruling that the complaint does not allege any direct physical loss to property, as required by the policy.
In a March 5 order, Judge Susan M. Brnovich of the U.S. District Court for the District of Arizona agreed with Cincinnati that there is no direct physical loss in situations where a contaminant or substance can be removed by simply cleaning.
“The mere fact that Plaintiffs needed to clean surfaces that could host the virus does …
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