Real Estate Firm Not Covered for COVID-19 Losses, 11th Cir. Affirms

ATLANTA — A national real estate and investment firm cannot recoup COVID-19-related losses from Endurance Specialty Insurance Co. because it did not sustain “direct physical loss or damage” to its properties, a federal appellate panel has affirmed.

On June 1, the 11th Circuit U.S. Court of Appeals panel agreed with a Florida federal judge that Frontier Investment Co.’s economic losses were not caused by some physical problem with its covered property, therefore coverage was not triggered.

Frontier owns and leases several commercial properties throughout the United States. When local and state officials issued orders restricting public access to non-essential businesses …