Midwestern Publishing Co. Loses Bid for COVID-19 Coverage

PADUCAH, Ky. — A Kentucky federal court has dismissed a publishing company’s COVID-19 coverage action against Great Northern Insurance Co., finding the policy does not cover business income losses arising from government shutdown orders or the virus itself.

In a Jan. 6 order, the U.S. District Court for the Western District of Kentucky found Schroeder Publishing Co. did not allege “direct physical loss or damage,” as required by the policy’s Civil Authority provision.

Schroeder alleged government shutdown orders issued in response to the COVID-19 pandemic devastated its publishing business based in Paducah, Ky., and its quilting events in Kentucky and …