Philly Bar’s COVID-19 Coverage Action Dismissed for Lack of Physical Loss, Damage

PHILADELPHIA — A former Philadelphia self-proclaimed lesbian bar cannot recover COVID-19-related business interruption losses from Seneca Insurance Co. because it did not sustain physical damage or loss as defined in the policy, a federal judge has ruled.

In a Sept. 29 order, Chief Judge Juan R. Sanchez of the U.S. District Court for the Eastern District of Pennsylvania further ruled that the policy’s virus exclusion bars coverage for Walnut Ace d/b/a Toasted Walnut Bar & Kitchen’s losses.

In mid-March, Pennsylvania Governor Tom Wolf ordered all restaurants and bars in the commonwealth to close their dine-in facilities, limiting their business to …