COVID related closures have wrecked the economy and, in the process, it has opened up insurers to lawsuits which will only continue to grow as the pandemic drags on. At the start of the pandemic, many property and casualty brokers had point blank said they were never going to cover this, and any future policies would have virus exclusions added. Seven months later, things have come to a head as court battles begin with many businesses suing their insurers over a variety of factors. In a running tally compiled by the University of Pennsylvania’s law school as of October 5th 2020.
The numbers show that with the pandemic still ravaging the economy, lawsuits will continue to increase, and insurers will have to decide whether to cover the losses or fight. As it stands, they currently do not want to and its on the judges to make a decision whether or not they will be forced to.
[1] https://cclt.law.upenn.edu/judicial-rulings/