Hotel Group Loses Bid for COVID-19 Coverage in Pa. Federal Court

PHILADELPHIA — The owner of several east coast hotels has lost its bid for COVID-19 coverage, with a Pennsylvania federal judge ruling that it did not sustain “direct physical loss or damage” to property, as required by the policy issued by The Hartford Mutual Insurance Co.

In an April 8 order, Judge Chad F. Kenney of the U.S. District Court for the Eastern District of Pennsylvania further found the policy’s Virus Exclusion applies to the plaintiff’s claimed losses.

SSN Hotel Management operates hotels in Delaware, New Jersey, Pennsylvania and Virginia. Beginning in early March, the governors of those states issued …