Cutlery Co. May Amend Pleading in COVID-19 Coverage Action, Ill. Federal Judge Rules

CHICAGO — An Illinois federal judge has dismissed without prejudice a cutlery company’s COVID-19 coverage action against The Cincinnati Insurance Company Inc., finding it failed to allege “direct physical loss of or damage” to covered property.

In an Aug. 4 order, Judge John F. Kness of the U.S. District Court for the Northern District of Illinois rejected Cozzini Bros. Inc.’s argument that mere loss of use of its property during the pandemic triggered coverage, ruling that there must be some “tangible, concrete” damage.

Cozzini rents and sharpens knives and other blades for various businesses, including restaurants, supermarkets, and commercial …