Seyferth Blumenthal & Harris LLC (SBH) attorney Nick Daugherty recently authored an article for Missouri Lawyers Media highlighting challenges based on recent court rulings for insureds seeking business interruption insurance claims due to COVID-19.
Daugherty provided a breakdown of setbacks for those filing coverage claims in an effort to recoup lost revenue as a result of the coronavirus. A “massive wave of litigation” has resulted, and courts across the country have grappled with the question of whether the potential presence of COVID-19 constitutes a direct physical loss to property that can trigger coverage.
“On that question, the overwhelming majority of courts have outright rejected any such notion, thereby leaving insured businesses with no coverage for their coronavirus-related losses,” Daugherty wrote in the article titled “Despite initial win in court, insureds face tough challenge in citing COVID-19 as reason for business interruption claims.” The full article can be read at this link, but please note a subscription may be required.
Daugherty is an associate at SBH with a practice focused on commercial litigation and counseling in all stages of litigation, with an emphasis on insurance-related issues. He represents insurers in various coverage-related cases.