Virus Exclusion Applies to Deli’s COVID-19 Losses Pa. Federal Judge Rules

  • Order

PHILADELPHIA — A federal judge has dismissed a Philadelphia delicatessen’s COVID-19 business interruption coverage action against AMCO Insurance Co., ruling that the policy’s virus exclusion applies to the alleged losses.

In a Feb. 11 order, Judge Gerald A. McHugh of the U.S. District Court for the Eastern District of Pennsylvania rejected Fuel Recharge Yourself Inc. d/b/a Fuel Restaurant’s argument that the exclusion does not encompass losses arising from a “pandemic,” finding there is a causal link between the virus, the government closure orders, and Fuel’s losses.

In a Sept. 14 complaint, Fuel contended that as a result of the virus …


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