Mass. Hair Salon Not Covered for COVID-19 Losses, Federal Judge Rules

BOSTON — A Massachusetts federal judge has dismissed a hair salon’s COVID-19 coverage action, finding there was no “direct physical loss of or damage” to either the insured business or properties surrounding the salon, as required by the policy.

In a July 26 electronic order, Judge Mark G. Mastroianni of the U.S. District Court for the District of Massachusetts added that the salon’s losses fall within the policy’s virus exclusion, which bars coverage for “any virus, bacterium or other microorganism that induces or is capable of inducing physical distress, illness or disease.”

Albertina Guzman Picot’s salon was impacted by closure …