NYC Restaurant Files Coverage Lawsuit Against Insurer over Food Spoiled by Superstorm Sandy

NEW YORK — A New York City restaurant that sustained damage as a result of Superstorm Sandy has sued its insurer for refusing to cover business losses and food spoilage resulting from the storm.

The lawsuit, filed April 9 in New York County Supreme Court, alleges that Travelers Casualty Indemnity Insurance Co. breached its contract with A.O. Café and Restaurant LLC when it denied the claim for coverage one month after Sandy made landfall.

According to the three-page complaint, A.O.’s Corner Stone Café sustained damage as a result of Superstorm Sandy, causing lost business income related to equipment failure and …