Midwestern Hotels Barred from COVID-19 Insurance Relief, Ind. Federal Judge Rules

  • Order

INDIANAPOLIS — An Indiana federal judge has ruled that a group of Midwestern hotel owners are not entitled to coverage for COVID-19 business losses because they did not sustain a “direct physical loss” to their insured properties.

In a March 8 order, Judge Richard L. Young of the U.S. District Court for the Southern District of Indiana further held that even if such damage had occurred, the policy’s virus exclusion bars coverage.

Plaintiffs sued Emcasco Insurance Company Inc. and Union Insurance Company of Providence Inc. after the insurers denied their claims for business interruption coverage. Plaintiffs filed the claim after …


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