N.Y. Deli Chain Loses Bid for Coverage of COVID-19 Losses

NEW YORK — A New York federal judge has dismissed a deli chain’s COVID-19 coverage action, ruling that The Cincinnati Insurance Co. is not obligated to pay the losses because there was no “physical loss or damage” to covered property.

In an April 23 order, Judge Lorna Schofield of the U.S. District Court for the Southern District of New York found Rye Ridge Corp. d/b/a Rye Ridge Deli and Haromar Inc. d/b/a Rye Ridge Deli failed to allege facts supporting their allegations that the presence of COVID-19 caused physical loss or damage.

The Rye Ridge Delicatessens are a set of …