6th Cir. Upholds Dismissal of Eye-Care Clinic’s COVID-19 Coverage Action

CINCINNATI — A federal appeals panel has upheld dismissal of an eye-care provider’s COVID-19 coverage action against Twin City Fire Insurance Co., ruling it did not sustain “direct physical loss of or physical damage to property” as required by the policy.

In a March 2 opinion, the 6th Circuit U.S. Court of Appeals panel ruled that System Optics Inc. failed to allege the government closure orders issued in response to the pandemic physically destroyed its eye-care clinics or otherwise tangibly deprived it of property.

System Optics operates several eye-care clinics near Akron, Ohio. In March 2020, System Optics temporarily shuttered …